DoorDash to acquire Deliveroo in a $3.85 billion deal, marking a major move in the global food delivery industry. The companies confirmed the agreement on Tuesday. DoorDash offered 180 pence per share, boosting Deliveroo’s stock by 2% to 175.6 pence.
The deal follows renewed talks that resumed last month. A previous attempt collapsed due to disagreements over Deliveroo’s value. This time, DoorDash confirmed it won’t raise the bid—unless a rival enters with a competing offer.
Through this acquisition, DoorDash aims to expand its presence in Europe. It will go head-to-head with existing players like Just Eat and Uber Eats. Deliveroo’s top market is the UK and Ireland, which makes up 62% of its total order value.
Deliveroo launched in 2013 under founder Will Shu. Its 2021 IPO opened at 390 pence per share. However, the stock struggled after the pandemic, and its current value remains far below its debut price.
Claudia Arney, Chair of Deliveroo’s Independent Committee, said the group unanimously supports the offer. “We believe the proposal benefits all shareholders and stakeholders,” she stated.
Investors holding 15.4% of Deliveroo’s shares have already backed the deal. Supporters include CEO Will Shu, Greenoaks, and DST Global. Shu will earn about £172.4 million for his 6.4% stake in the company.
However, analysts noted the absence of one key player—Amazon. The tech giant holds a 14.38% stake in Deliveroo. It has not yet commented on the deal. Some analysts believe Amazon could still make a counter-offer.
Despite the size of the transaction, the deal is unlikely to face regulatory challenges. DoorDash has little or no footprint in Deliveroo’s ten active markets, including France and Italy. This reduces concerns about reduced competition.
Combined, the two companies handled around $90 billion in orders in 2024. The acquisition gives DoorDash a direct entry into Europe’s largest food delivery markets. It also increases its global order volume significantly.
The DoorDash to acquire Deliveroo deal reflects the growing trend of consolidation in the delivery sector. As competition intensifies, the move positions DoorDash to grow beyond its U.S. base and compete more broadly.
Read: DoorDash Bids $3.6 Billion to Acquire Deliveroo in Major Expansion Move
