US food delivery giant DoorDash has made a formal bid to acquire UK-based rival Deliveroo for 3.393 billion euros, or 210 cents per share. Deliveroo’s board is backing the deal, urging shareholders to accept.
The combined entity would operate in over 40 countries, processing 79.2 billion euros worth of orders annually. DoorDash already serves more than 30 countries and has 42 million users. Deliveroo, founded by Will Shu and Greg Orlowski, operates in nine countries and has 7 million monthly active users.
Key Stats
- Deliveroo’s 2024 gross transaction value: 8.307 billion euros, up 8% year-over-year
- Deliveroo’s 2024 revenue: 2.34 billion euros
- Deliveroo’s adjusted EBITDA: 164 million euros
- DoorDash’s market capitalization: 84.7 billion euros
- DoorDash’s 2024 revenue: 9.74 billion euros
DoorDash CEO Tony Xu said the deal will help businesses and consumers worldwide. “We will cover over 40 countries…and provide local businesses with the tools they need to thrive,” he said. Claudia Arney, Deliveroo’s chair, added that the offer benefits shareholders and stakeholders.
The acquisition solidifies DoorDash’s position as a global leader in local commerce. Both companies serve complementary markets, potentially creating a global food delivery powerhouse with 50 million monthly active users. In 2024, they generated a combined gross transaction value of around 90 billion dollars.
What’s Next
The deal will likely boost DoorDash’s presence in Europe and the UK. DoorDash has shown strong execution and a clear vision, leading in the US and growing rapidly in Europe. By combining forces, the two companies can invest in innovation and improve their services.