Uber Technologies NYSE:UBER rose 2.04% intraday after agreeing to buy Germany's Delivery Hero for an equity value of $14.8 billion, a deal that would create the largest food-delivery group outside China. The offer of 41.50 a share is a 34% premium to Delivery Hero's three-month average price. Delivery Hero, the Berlin-based operator of brands including Glovo, foodpanda, and Talabat, already counts Uber as its largest shareholder.
The purchase pushes Uber deeper into a market it has been fighting to consolidate against DoorDash (DASH) and Just Eat. Excluding overlapping markets, it extends Uber's delivery network to 99 countries from 50 and adds a business with about $42 billion in gross bookings last year. CEO Dara Khosrowshahi said the deal would nearly double the markets where Uber offers both rides and delivery.
With $236 billion in combined 2025 gross merchandise value, the business faces a lengthy antitrust review. To ease concerns, Delivery Hero will sell operations in 14 markets to SSW Partners for about 1.4 billion, and major shareholder Prosus agreed to offload its nearly 17% stake, with completion not expected until the second half of 2027.