Uber Technologies is set to expand its international food-delivery reach significantly with its recent agreement to acquire Germany’s Delivery Hero. The deal, valued at $14.8 billion, will broaden Uber’s market presence across 50 countries, marking a major step in the company’s global strategy.
Under this acquisition, Uber will pay €41.50 per share, equivalent to $47.60, for Delivery Hero’s core global operations. The transaction also involves purchasing shares from one of Delivery Hero’s major investors, Prosus. This move is expected to consolidate Uber’s position in the highly competitive food-delivery industry, which has seen a trend towards mergers and acquisitions following a surge in demand during the Covid-19 pandemic.
In a related part of the deal, investment firm SSW Partners will acquire Delivery Hero’s operations in 14 markets for about $1.6 billion. These assets include businesses in countries such as Austria, Norway, Spain, and Sweden. SSW Partners plans to divest these assets separately, aligning with their investment strategy.
The acquisition reflects the ongoing consolidation within the global food-delivery sector, where companies are increasingly seeking strategic partnerships to bolster their international positions. Uber’s move to acquire Delivery Hero follows a series of overseas expansion efforts aimed at gaining a competitive edge over rivals who have also been active in the market.
Before the deal, Delivery Hero had initiated a strategic review due to investor pressure for restructuring and the sale of additional assets. With this acquisition, Uber is poised to enhance its footprint in the global food-delivery market, further solidifying its role in a rapidly evolving industry.