Uber, one of the leading global mobility and food delivery platforms, has confirmed its decision to acquire another significant player in the industry, Delivery Hero. The agreement, which values Delivery Hero at approximately €13.0 billion (US$14.8 billion), follows earlier disclosures by the latter about being in advanced talks with Uber amidst market rumors of a potential takeover.
Uber’s proposal outlines a voluntary public takeover offer, which will see it pay Delivery Hero shareholders €41.50 per share in cash. This move will significantly broaden Uber’s global delivery operations through the integration of Delivery Hero’s portfolio of brands. These include Foodpanda, Glovo, Talabat, HungerStation, and PedidosYa. Consequently, the amalgamated businesses will operate in 99 markets, offering services in ride-hailing, food delivery, and quick commerce.
Niklas Östberg, the co-founder and CEO of Delivery Hero, has expressed his confidence in the acquisition. He asserts that the deal, along with Uber’s planned investment in Germany, highlights the appeal of the European tech ecosystem. Furthermore, he expresses the company’s intent to continue contributing to its growth.
To ensure regulatory approval for the acquisition, Delivery Hero will divest its operations in 14 markets where it overlaps with Uber. The divestment will be done to investment firm SSW Partners before the transaction is finalised.
Uber, for its part, has pledged to uphold Delivery Hero’s Berlin headquarters and its staff until at least the end of 2029. In addition, the company has promised to invest €2 billion in Germany by 2031.
The transaction is anticipated to be concluded in the second half of 2027, subject to shareholder acceptance and regulatory approvals.
What is the value of the proposed acquisition of Delivery Hero by Uber?
The deal values Delivery Hero at approximately €13.0 billion (US$14.8 billion).
How will the acquisition expand Uber’s business?
The acquisition will allow Uber to integrate Delivery Hero’s portfolio of brands, including Foodpanda, Glovo, Talabat, HungerStation, and PedidosYa. This will significantly expand Uber’s operations across 99 global markets.
What commitments has Uber made towards Delivery Hero’s existing operations and workforce?
Uber has committed to maintaining Delivery Hero’s Berlin headquarters and workforce until at least the end of 2029. It also plans to invest €2 billion in Germany by 2031.
