Frankfurt (Germany) (AFP) – German food delivery group Delivery Hero said Thursday it has agreed to be taken over by US ride-hailing giant Uber in a 12.7-billion-euro ($14.6-billion) deal. Founded in 2011, the German firm now operates in over 60 markets and is one of the world’s biggest food delivery groups. It has also expanded beyond its traditional food business to “quick commerce”, delivering small packages to customers.
Uber is offering 41.50 euros per share for Delivery Hero, valuing the deal at 12.7 billion euros. Delivery Hero’s shares were down 0.5 percent in Frankfurt after the announcement, trading at 37.9 euros.
“Uber’s global mobility and delivery platform and our shared commitment to innovation make this the right partnership to build on Delivery Hero’s strengths in local food delivery and quick commerce,” said Niklas Oestberg, CEO and co-founder of Delivery Hero. Uber CEO Dara Khosrowshahi said a merger would “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.”
Uber is acquiring Delivery Hero’s businesses in 50 markets worldwide across Asia, Europe, Latin America, and the Middle East. A US investment firm, SSW Partners, is acquiring the German group’s operations in another 14 markets, where Uber and Delivery Hero compete, for around 1.4 billion euros.
Delivery Hero said its management recommends that shareholders accept the deal, and it is expected to be finalised in the second half of 2027.
© 2024 AFP
