Uber is making a major play in the food delivery market. The company announced it will acquire Delivery Hero’s food delivery business in a deal valued at $14.8 billion. Under the terms, Uber will pay Delivery Hero shareholders €41.50 per share in cash.
Dara Khosrowshahi, CEO of Uber, said, “By bringing our platforms together, Uber will extend affordable, reliable delivery to many millions more people in some of the world’s most dynamic economies, while creating more opportunities for merchants and couriers.”
The acquisition will be financed through a mix of cash and shares. Once completed, Uber will gain a stronger foothold in markets where Delivery Hero already has a large customer base. This is one of the largest deals in the food delivery industry in recent years.
Additionally, Uber has committed to investing €2 billion in Germany through 2031, focusing on developing its local corporate workforce and expanding its nationwide business. Niklas Östberg, Co-Founder and CEO of Delivery Hero, commented, “This acquisition and Uber’s planned investment in Germany demonstrate the attractiveness of the European tech ecosystem, and we intend to keep contributing to its growth.”
For consumers, the deal could mean faster deliveries and more choices. A larger delivery network typically leads to more delivery partners and better coverage, potentially reducing wait times, especially in busy urban areas.