US 'DoorDash' Acquires Grocery Delivery Rival 'Instacart' for $17 Billion
DoorDash acquired Instacart for $17 billion, with board approval.
Translated by Qiyas from الجريدة — Original source
US delivery company DoorDash has acquired its grocery delivery rival Instacart for approximately $17 billion.
The deal values Instacart shares at $65.00 per share, with at least 75% of the transaction value to be paid in cash.
Instacart shareholders will have the option to receive cash, DoorDash shares, or a combination of both, according to a proportional distribution mechanism and a cap on the portion payable in shares. The Instacart board of directors unanimously approved the deal.
The agreement follows reports published last week by The Information, which indicated that Instacart was considering selling itself and had held preliminary discussions with DoorDash and Uber.
The Wall Street Journal later reported on Monday that DoorDash was in advanced stages of negotiations to acquire the company in a deal valued at around $17 billion. Reuters noted that talks with Uber were no longer ongoing.
DoorDash announced that the merger would combine its delivery network with Instacart’s technology for fulfilling grocery orders, as well as its relationships with retailers and its advertising business.
