Uber's $15 billion bid for Delivery Hero has cleared a big hurdle. The food delivery company's boards support the deal. They told shareholders to say yes, calling the price fair.
The deal would make Uber one of the largest food delivery platforms outside China. It would double Uber's global footprint and help it fight DoorDash and Just Eat Takeaway.
Uber already owns the biggest stake in Delivery Hero. It needs 50% plus one share to close. Another big owner, Prosus, agreed to sell its 17%.
π The Backstory
Food delivery has been a money-losing war for years. Companies pay huge sums to win riders and hungry customers. Many are now merging to survive.
In the last 18 months, Uber bought Turkey's Getir for $335 million. DoorDash agreed to pay $3.87 billion for the UK's Deliveroo. Grab is buying Delivery Hero's Taiwan business.
Delivery Hero also agreed to sell its businesses in 14 markets where Uber Eats already runs. That clean-up makes the takeover easier to approve.
π― Why It Matters
Fewer companies often means higher delivery fees and less choice for customers. It also affects riders' pay and jobs. When giants merge, the price of your next takeaway can change.
Uber's $15 billion bid for Delivery Hero has cleared a big hurdle. The food delivery company's boards support the deal. They told shareholders to say yes, calling the price fair.
The deal would make Uber one of the largest food delivery platforms outside China. It would double Uber's global footprint and help it fight DoorDash and Just Eat Takeaway.
Uber already owns the biggest stake in Delivery Hero. It needs 50% plus one share to close. Another big owner, Prosus, agreed to sell its 17%.
Food delivery has been a money-losing war for years. Companies pay huge sums to win riders and hungry customers. Many are now merging to survive.
In the last 18 months, Uber bought Turkey's Getir for $335 million. DoorDash agreed to pay $3.87 billion for the UK's Deliveroo. Grab is buying Delivery Hero's Taiwan business.
Delivery Hero also agreed to sell its businesses in 14 markets where Uber Eats already runs. That clean-up makes the takeover easier to approve.
Fewer companies often means higher delivery fees and less choice for customers. It also affects riders' pay and jobs. When giants merge, the price of your next takeaway can change.