Uber in Advanced Talks to Acquire Delivery Hero

Singapore, Singapore Jul 14, 2026 ALN: [BERLIN] Ride-hailing giant Uber Technologies is in advanced talks to acquire German food-delivery company Delivery Hero, according to sources familiar with the matter. This potential acquisition represents a significant move in the food delivery market, which has seen considerable consolidation in recent years.

Uber aims to reach an agreement with Delivery Hero as soon as this week. A transaction would likely value the German group well above its recent trading price of around 36 euros per share, some sources indicated. The urgency in the negotiations reflects the competitive dynamics of the food delivery sector, where companies are seeking to strengthen their market positions amid a backdrop of slowing growth and increasing competition.

Shares of Delivery Hero have gained about 62 percent this year, giving the company a market value of 11.2 billion euros (US$12.8 billion). This rise is indicative of investor confidence in Delivery Hero's business model, particularly as the company has expanded its operations across multiple international markets. Uber has already built a shareholding in Delivery Hero of 24.99 percent, plus derivatives that take its total interest to about 36.8 percent. This existing stake positions Uber favorably should the acquisition proceed, providing them with a substantial foothold in the European food delivery market.

Uber had previously approached Delivery Hero with an offer of 33 euros per share, but investors are betting that a higher price will be required to seal the deal. This reflects the ongoing negotiations and the expectations surrounding the valuation of Delivery Hero, especially given its recent performance on the stock market. Amsterdam-listed internet investment firm Prosus NV also holds a significant stake in Delivery Hero, which complicates the acquisition landscape as it may influence negotiations and strategic decisions.

Any potential deal is likely to attract scrutiny from antitrust regulators globally, as Delivery Hero has a presence in over 60 markets, and the company and Uber overlap in parts of Europe and the Middle East. Regulatory bodies in various jurisdictions have become increasingly vigilant regarding mergers and acquisitions, particularly in industries marked by rapid consolidation. The implications of such scrutiny could lead to conditions being imposed on the deal or, in some cases, outright rejection if regulators believe it would significantly lessen competition in the market.

Deliberations are ongoing, and a deal could still be delayed or fall apart, sources noted, requesting anonymity due to the private nature of the information. Representatives for Uber and Prosus declined to comment, while a spokesperson for Delivery Hero could not be reached for immediate comment. The lack of public commentary from the involved parties underscores the sensitivity of the negotiations and the potential impact on their respective market positions.

Delivery Hero has been conducting a strategic review following pressure from shareholders, including Aspex Management, the hedge fund that succeeded in ousting founder Niklas Östberg and has lobbied for more asset sales. This internal shift in leadership and strategy indicates a desire for increased accountability and profitability within the company, which has faced challenges in a highly competitive environment. Aspex Management's influence suggests that shareholders are seeking to maximize the value of their investments, potentially making the company more attractive to buyers like Uber.

This move comes as the food delivery sector consolidates globally, driven by slowing growth and heavy competition. Several of Delivery Hero’s peers in Europe have been targeted; for instance, DoorDash agreed to buy the UK’s Deliveroo last year, while Prosus acquired Just Eat Takeaway.com NV. These transactions highlight a trend where larger players are absorbing smaller competitors to enhance their service offerings and market reach, positioning themselves to better withstand market fluctuations and competitive pressures.

Other suitors have been studying Delivery Hero or some of its assets. DoorDash and Saudi Arabian quick delivery startup Ninja have separately expressed interest in part or all of Delivery Hero’s Middle East business, according to knowledgeable sources. The interest from multiple parties reflects the strategic value of Delivery Hero’s operations, particularly in regions where food delivery services are experiencing rapid growth. The Middle East market, in particular, has been seen as a lucrative area for expansion, with increasing demand for food delivery services driven by changing consumer habits.

Business surged for food delivery providers during COVID-19 lockdowns, prompting rapid expansion and investment, only to slow dramatically when restaurants and grocery stores reopened. This volatility has forced companies to rethink their growth strategies and operational efficiencies. The pandemic accelerated the adoption of food delivery services, but as life returns to normal, many companies are grappling with the challenge of maintaining their customer bases and profitability.

Increasing regulatory scrutiny of gig workers, treated as independent contractors without the same rights and protections as full-time employees, has also made labor more expensive. This has significant implications for companies like Uber and Delivery Hero, which rely heavily on a flexible workforce to fulfill delivery orders. Changes in labor laws or increased pressure from labor rights groups could result in higher operational costs, further complicating the financial landscape for food delivery companies.

In conclusion, the potential acquisition of Delivery Hero by Uber represents a pivotal moment in the food delivery industry, one that could reshape market dynamics significantly. As negotiations progress, the implications for stakeholders—including shareholders, employees, and consumers—will become increasingly clear. The outcome of this deal could set a precedent for future acquisitions in the sector and influence how companies navigate the challenges of a post-pandemic market.