Uber is reportedly close to finalizing a €12.5 billion deal to acquire Delivery Hero, a German food delivery company. The Financial Times reported the potential acquisition, citing sources familiar with the matter. This move follows months of speculation, with Uber having previously made an offer of €38 per share to Delivery Hero in May, which investors considered too low. The current proposed deal could see Uber paying approximately €41 per share, though the final terms and timing remain subject to change.
The acquisition would significantly expand Uber Eats' food delivery network across Europe, the Middle East, Asia, and Latin America, bolstering its position against rivals like DoorDash. To mitigate potential antitrust concerns and geographical overlap, Delivery Hero plans to divest its Turkish unit, Yemeksepeti, and several European operations to an investment firm. Uber has also paused the launch of new delivery services in five European markets where it overlaps with Delivery Hero.
This deal highlights the ongoing consolidation in the global food delivery sector. The acquisition would see Delivery Hero's South Korean platform, Baemin, and its Middle Eastern platforms like Talabat and HungerStation integrated into Uber's portfolio. While DoorDash currently holds a dominant 65% share in the U.S. food delivery market compared to Uber Eats' 23%, this strategic acquisition aims to strengthen Uber's global footprint and competitive standing.
