Key Highlights
- Bloomberg reports Uber is considering a complete acquisition of Delivery Hero, a European food delivery firm
- The ride-hailing company revealed this week it owns 19.5% of Delivery Hero, with an additional 5.6% through options
- With assistance from Morgan Stanley, Uber rapidly accumulated its position using derivative instruments
- Uber shares declined approximately 1.9% on the report; competitor DoorDash climbed 1.9%
- Over the last half-year, Delivery Hero’s Frankfurt-listed shares have surged nearly 110%, bringing its market cap to approximately €10.2 billion
According to a Friday report from Bloomberg, Uber has entered preliminary discussions regarding a complete acquisition of Delivery Hero, the food delivery powerhouse listed on the Frankfurt exchange.
The strategic initiative is designed to strengthen Uber’s competitive position against DoorDash in markets beyond U.S. borders.
Following the report’s publication, Uber shares fell roughly 1.9%. Meanwhile, DoorDash—a primary competitor in global delivery markets—posted gains of 1.9%.
Just days ago, Uber revealed it had swiftly accumulated a 19.5% ownership position in Delivery Hero, complemented by options representing another 5.6%. The company worked with Morgan Stanley to build this stake quickly through the use of derivative contracts.
Bloomberg sources indicate that Uber has been engaging with other major Delivery Hero shareholders to gauge interest in a potential transaction.
Uber’s Official Position
In an official submission to German regulatory authorities, Uber clarified that it presently has no plans to increase its ownership to 30% or beyond—a level that would normally require a mandatory acquisition offer under European regulations.
However, the company acknowledged that it regularly evaluates its investment portfolio and might acquire additional shares if an appropriate opportunity presents itself.
Uber further indicated it has no intention of altering Delivery Hero’s capital framework or seeking to influence board member selections beyond its existing shareholder voting rights.
The company may still require regulatory clearance from antitrust authorities before reaching certain ownership levels in Europe.
Delivery Hero’s Current Position
Shares of Delivery Hero have soared almost 110% in Frankfurt over the previous six-month period, pushing its valuation to around €10.2 billion.
The firm provides food and grocery delivery operations in numerous international territories outside the United States, positioning it as a valuable strategic target for any company seeking global expansion.
With the support of financial advisors, Uber is actively examining options to expand its ownership stake, according to Bloomberg.
Discussions remain in progress, and sources emphasized that no guarantee exists that negotiations will culminate in a definitive agreement.
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