Uber nears €12.5bn deal to acquire Delivery Hero, FT reports
Uber is reportedly close to a €12.5 billion acquisition of food delivery company Delivery Hero, according to the Financial Times.
Uber Technologies Inc. is nearing a €12.5 billion deal to acquire German food delivery firm Delivery Hero SE, according to a report by the Financial Times. The potential transaction, if completed, would mark one of the largest tie-ups in the gig economy and significantly consolidate the global online food delivery market.
Details of the Deal
Sources cited by the Financial Times indicate that the talks are at an advanced stage. An agreement could be announced soon, though no final terms have been disclosed. The €12.5 billion valuation represents a substantial premium over Delivery Hero's recent market capitalization, reflecting strategic value and potential synergies.
Market Implications
The acquisition would create a powerhouse spanning multiple continents. Uber Eats already holds a strong position in the U.S., parts of Europe, and other regions, while Delivery Hero dominates markets in Asia, the Middle East, and Latin America. Together, they would control a massive share of the global food delivery market, putting intense pressure on rivals like DoorDash and Just Eat Takeaway.
From a financial perspective, the deal could allow Uber to cross-sell services, leverage delivery networks, and improve profitability in a notoriously low-margin industry. However, such consolidation is likely to face regulatory scrutiny, particularly from antitrust authorities in Europe and other jurisdictions wary of reduced competition.
What’s Next?
If the deal closes, integration challenges will be substantial—unifying technology platforms, managing diverse restaurant partner bases, and navigating different labor regulations. Investors will also watch for any counterbids or shareholder pushback. Even before official confirmation, market reaction could drive notable moves in both companies' stock prices.
Key Takeaways
- Uber reportedly is close to acquiring Delivery Hero for €12.5 billion, per the Financial Times.
- The combined entity would be the world’s largest food delivery player by geography and order volume.
- Antitrust hurdles are expected, given the significant market overlap in some regions.
- The deal underscores ongoing consolidation in the gig economy as companies seek scale and profitability.