Uber Technologies is set to expand its reach in the global food-delivery sector through a significant acquisition of Germany’s Delivery Hero. This deal, valued at $14.8 billion, will bolster Uber’s presence in 50 international markets, marking a major step in its strategic global expansion efforts.
According to the agreement, Uber will purchase shares of Delivery Hero’s core global business at €41.50 ($47.60) per share. This transaction also includes acquiring shares from major investor Prosus. In a related move, SSW Partners, an investment firm, will take over operations in 14 markets for about $1.6 billion. These assets span countries such as Austria, Norway, Spain, and Sweden, with plans for SSW to sell them independently.
This acquisition highlights the ongoing consolidation within the food-delivery industry, which saw substantial growth during the Covid-19 pandemic. As competition intensifies, major players are increasingly turning to mergers and acquisitions to enhance their international standing. Uber’s latest move is part of its broader strategy to strengthen its global positioning, a path also pursued by its competitors.
In recent years, Uber has actively sought to expand its operations beyond its home borders, reflecting a trend among food-delivery companies to secure a firmer foothold worldwide. Meanwhile, Delivery Hero had been undergoing a strategic review, driven by investor pressure for restructuring and asset sales, making the company a suitable acquisition target.
The deal is poised to significantly enhance Uber’s influence in the global food-delivery market, reinforcing its commitment to becoming a leading player in this competitive industry.