US Markets
Home›US Markets›M&A & Deals›Uber nears €12.5 billion deal to acquire Delivery Hero
Uber nears €12.5 billion deal to acquire Delivery Hero
The proposed takeover values Delivery Hero at about €12.5 billion and includes plans to sell Yemeksepeti and some European operations to reduce overlap concerns.
Uber is nearing a takeover of Delivery Hero in a deal that would value the German food delivery company at about €12.5 billion, according to the Financial Times as cited by Reuters. Delivery Hero confirmed it was in advanced negotiations with Uber regarding a potential offer on Tuesday.
Reuters reports that acquiring Delivery Hero, which has a market value of roughly €11.6 billion, would expand Uber Eats across Europe, the Middle East, Asia, and Latin America. The deal could also face antitrust scrutiny due to overlapping operations between the two companies.
Under the proposed terms, Delivery Hero would split off part of its business, selling its Turkish unit Yemeksepeti and several European operations to an investment firm to limit geographic overlap and reduce potential regulatory issues, the report said. Delivery Hero could announce the deal as early as Thursday, Reuters adds, with Uber paying roughly €41 per share.
The discussions follow months of speculation, Reuters says. Uber approached Delivery Hero in May with a €38 per share offer that investors viewed as too low, and both companies did not immediately respond to a Reuters request for comment.