Uber launches $19 billion takeover bid for Delivery Hero to create food-delivery giant
Uber has launched a $19 billion takeover offer for Delivery Hero, a deal that would create the world's largest food-delivery company outside China. The combined company would operate across dozens of countries in Europe, Asia, Latin America and the Middle East. The offer still requires approval from Delivery Hero's board and regulators.
Uber has launched a $19 billion takeover offer for Delivery Hero, the German-based food-delivery company, in a deal that would create the world's largest food-delivery business outside China. The combined company would bring together Uber Eats' operations with Delivery Hero's brands, which span dozens of markets across Europe, Asia, Latin America and the Middle East.
The proposed acquisition reflects continued consolidation in the food-delivery industry, where operators have faced pressure to achieve profitability after years of aggressive expansion funded by cheap capital. A combined Uber-Delivery Hero would gain significant scale in markets where the two companies currently compete separately, potentially strengthening its negotiating position with restaurants and reducing marketing costs.
The offer still requires approval from Delivery Hero's board as well as antitrust regulators in multiple jurisdictions, given the scale of the combined company's market presence. Analysts say regulatory scrutiny could be significant in markets where the merger would leave few competitors in food delivery.
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