DoorDash has agreed to acquire Instacart in a deal valued at approximately $17 billion, according to Reuters. The company will pay $65 per share, a 26% premium over Instacart's October 22 closing price.
The agreement, reported by Techmeme and Engadget, would combine the two largest grocery delivery platforms in the United States — assuming it survives antitrust review. The deal caps years of on-and-off talks between the companies.
DoorDash and Instacart: What the deal includes
DoorDash built its business on restaurant takeout but has expanded into grocery and retail delivery. Absorbing Instacart's network could accelerate that push and create a single, larger platform for everyday shopping.
This is not DoorDash's only recent expansion. Earlier this year, the company began testing a drone delivery program. Reports from The Information and The Wall Street Journal had recently suggested Instacart was exploring a sale, with Uber also named as a possible buyer at one point.
- Deal value: approximately $17 billion
- Price per share: $65
- Premium: 26% over Instacart's October 22 close
- Buyer: DoorDash
- Target: Instacart
- Prior talks placed Instacart at a higher valuation in 2021, but ended over price and antitrust concerns
