Delivery Hero Board Backs Uber’s $15 Billion Takeover Bid, Creates Global Delivery Giant

Delivery Hero’s supervisory and management boards published a joint reasoned statement on Wednesday, saying the deal is in the best interests of the company, its shareholders, employees and other stakeholders. The boards described the price as “fair and adequate” and said the transaction has the “potential to accelerate product innovation.”

Uber, already Delivery Hero’s largest shareholder, has set a minimum acceptance threshold of 50% plus one share of the company’s outstanding share capital. Major shareholder Prosus has agreed to sell its 17% stake as part of the offer.

The tie-up would double Uber’s global footprint, putting it in a stronger position to compete with DoorDash and Just Eat Takeaway. Delivery Hero has already agreed to sell its businesses in 14 markets where Uber Eats already operates to New York-based investment firm SSW Partners for $1.6 billion.

The proposed acquisition is the latest in a wave of consolidation reshaping the on-demand delivery industry. Over the past 18 months, Uber agreed to buy Turkey-based Getir’s delivery arm for $335 million, Grab announced it would acquire Delivery Hero’s Foodpanda business in Taiwan for $600 million in cash, and DoorDash said it would pay $3.87 billion for U.K.-based Deliveroo.

Why This Matters

The deal would merge two major players in the global food delivery market, potentially reducing competition and consumer choice in regions where both operate.
It signals further consolidation in an industry that has struggled with profitability despite high demand, as companies seek scale to lower costs.
Shareholders of both companies face a decision with significant financial implications, particularly given the minimum acceptance threshold and previous sale of assets.

Background

Uber has been aggressively expanding its food delivery business, Uber Eats, through acquisitions. The company already held a significant stake in Delivery Hero before making the full takeover bid. Delivery Hero, founded in 2011, operates across dozens of countries and had previously been divesting certain operations to satisfy regulatory concerns and streamline its portfolio. The industry has seen rapid consolidation as players seek to achieve economies of scale in a capital-intensive sector.

Key Perspectives

Uber: The company gains a dominant position in much of the global food delivery market outside of China and the U.S., allowing it to better compete with rivals like DoorDash and Just Eat Takeaway. Delivery Hero Board and Major Shareholders: They view the offer as fair and in the best interests of the company and its stakeholders, with the potential for accelerated product innovation under Uber’s ownership. Critics/Regulators: The deal could face antitrust scrutiny in multiple jurisdictions, particularly given the overlap between Uber Eats and Delivery Hero in some markets. The prior sale of 14 markets to SSW Partners may have been designed to preempt such concerns.

What to Watch

Whether Delivery Hero shareholders tender enough shares to meet Uber’s 50%-plus-one threshold.
Regulatory reviews in key markets, especially the European Union and countries where both platforms have strong presence.
How DoorDash and Just Eat Takeaway respond, potentially through further acquisitions or strategic partnerships.

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