Uber, Postmates Agree on $2.65 Billion All-Stock Deal

5 Jul by Vitaliy Dadalyan

Uber, Postmates Agree on $2.65 Billion All-Stock Deal

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Uber, Postmates Agree on $2.65 Billion All-Stock Deal(Bloomberg) — Uber Technologies Inc.’s board of directors has approved a $2.65 billion acquisition of food delivery rival Postmates Inc. in an all-stock deal, expected to be announced as soon as Monday morning in the U.S., according to people familiar with the matter.Uber’s head of food delivery, Pierre-Dimitri Gore-Coty, is expected to continue to run Uber’s combined delivery business, according to a person who asked not to be identified discussing a private deal. The acquisition comes on the heels of Uber’s failed bid to acquire publicly traded GrubHub Inc., which was scooped up by Europe’s Just Eat Takeaway for $7.3 billion.Representatives for Uber and Postmates declined to comment.The deal would help Uber gain ground against privately-held DoorDash, which is the market leader in U.S. food delivery. While Postmates hasn’t kept apace with DoorDash, it established a strong position in Los Angeles and the American Southwest, both of which could be valuable to Uber Eats.(Updates with company response in third paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.