Shgardi, a Saudi-based food delivery application, has officially announced the permanent cessation of its operations amid fierce market competition and what it described as aggressive price-cutting policies across the delivery sector.
The company stated that the decision came after completing over 7 million orders and serving more than 3 million customers across 35 provinces and cities throughout the Kingdom.
Shgardi is owned by Safri for Trading and Marketing, a closed joint-stock company headquartered in Al Khobar, established in early 2020 with a capital of $3.2 million.
In late 2021, Wathiq Financial Company was appointed as the financial advisor to manage Shgardi’s capital increase plan through listing on the Nomu – Parallel Market.
The announcement comes at a time when competition in the Saudi delivery market is intensifying, driven by players such as Kita, which — in its first year of operation in Saudi Arabia — has achieved remarkable growth with:
- Over 1,000 employees
- 48,000+ restaurants
- 49,000+ delivery drivers
- Presence in 20 active cities
- An average delivery time of 29 minutes
According to sector data, delivery companies completed 103 million orders in Q3, highlighting the competitive pressures and market consolidation facing the food delivery industry in Saudi Arabia.
