DoorDash, the largest food delivery service in the United States, has agreed to acquire British rival Deliveroo in a $3.9 billion all-cash deal, marking a major step in its international expansion strategy.
The San Francisco-based company will pay 180 pence per share for Deliveroo, representing a 44% premium over the UK firm’s stock price before the deal talks became public. Deliveroo’s board has unanimously recommended the offer, and the deal is expected to close later this year, pending shareholder approval.
Founded in 2013, Deliveroo operates in nine countries, including the United Kingdom, France, and the United Arab Emirates. Despite rapid early growth, the company has struggled with profitability and intense competition, particularly after its disappointing 2021 IPO, where shares debuted at 390 pence and have since lost more than half their value. [Read more…] about DoorDash to acquire Deliveroo in $3.9 billion deal to expand global reach