According to reports citing informed sources on May 22, the American ride-hailing and food delivery giant Uber is exploring the possibility of launching a full acquisition of the German food delivery platform Delivery Hero. This development follows Uber's recent increase in shareholding to become the largest single shareholder in Delivery Hero, aiming to accelerate its expansion in markets outside the United States to counter the global footprint of its main competitor, DoorDash.
On May 18, Uber disclosed that it had rapidly increased its stake from 7% in April to 19.5%, while also holding a 5.6% options position, thereby becoming Delivery Hero's largest single shareholder. Reports indicate that Uber is working closely with financial advisors to evaluate options for further increasing its stake and has engaged with other Delivery Hero investors regarding potential transaction intentions. Sources caution that these discussions are still in the early stages and may not necessarily lead to a final deal.
However, in a notification submitted to German regulatory authorities, Uber explicitly stated it currently has no intention of raising its stake to 30% or more. Under German corporate law, a 30% stake triggers a mandatory full takeover offer. The company also noted that it regularly reviews its investment portfolio and does not rule out further increases if attractive opportunities arise.
The core driver behind this potential acquisition is Uber's strategic defensive need to counter DoorDash's global expansion. Currently, DoorDash holds a commanding 67% market share in the U.S., far surpassing Uber's 25%, and through acquisitions like Finland's Wolt and a stake in the UK's Deliveroo, its operations span over 40 markets.
In comparison, Delivery Hero operates in approximately 65 countries and regions worldwide, covering the Middle East, North Africa, Asia, Europe, and Latin America. Its growth in the Middle East and North Africa region has been particularly strong, with first-quarter GMV increasing by 16.1% year-over-year. If Uber completes an acquisition, it would directly gain a global food delivery network with coverage far exceeding that of the DoorDash alliance, potentially creating a third major force in the global food delivery market.
Delivery Hero is currently in a vulnerable period regarding internal governance. Following sustained pressure from activist investor Aspex Management, the company's co-founder and CEO, Niklas Östberg, has announced he will step down no later than 2027. Berenberg analyst Wolfgang Specht noted that Uber's increased stake may have already altered the investment thesis for Delivery Hero, making a full acquisition a consideration.
From Uber's own financial perspective, the company is in a critical transition phase. First-quarter results showed revenue of $13.2 billion, but net profit fell significantly year-over-year to $263 million. Substantial investments in autonomous driving and AI continue to pressure cash flow, and launching a large-scale acquisition at this time would undoubtedly further test the balance sheet. The market has reacted cautiously, with Uber's stock falling approximately 1.6% to 1.9% following the news of the potential acquisition.
Analysts suggest Uber might be adopting a gradual strategy of control without immediate purchase. By maintaining a 19.5% stake, it retains the acquisition option while using shareholder rights to influence Delivery Hero, potentially pushing for asset divestitures or strategic restructuring, and waiting for a more favorable valuation before making a decisive move. Delivery Hero has welcomed Uber's investment, stating the company remains focused on improving operational efficiency and advancing its strategic review to create long-term value for all shareholders.