Deliveroo to be Acquired by DoorDash for $3.9 Billion
Deal News | Aug 19, 2025 | Zawya
DoorDash, the prominent U.S. meal delivery company, has announced a planned acquisition of the British food delivery firm Deliveroo for around $3.9 billion. The deal, which values Deliveroo at approximately 2.9 billion pounds, is set to be evaluated under the European Union's simplified merger procedure. This review process, typically used when a merger is unlikely to raise significant competition concerns, suggests that a regulatory approval is anticipated. Since its poor performance on the stock market post its 2021 IPO, Deliveroo's market position has been weakened, in part due to stagnating demand for online food delivery services following the COVID-19 pandemic surge.
Sectors
- Food Delivery
- E-commerce
- Mergers & Acquisitions
Geography
- European Union – The EU is involved in the regulatory review process of the merger.
- United States – DoorDash, the acquiring company, is based in the U.S.
- United Kingdom – Deliveroo, the target company, is based in the UK.
Industry
- Food Delivery – This deal involves DoorDash and Deliveroo, which are both key players in the food delivery sector.
- E-commerce – The acquisition is part of the broader e-commerce industry, where companies facilitate online ordering and delivery services.
- Mergers & Acquisitions – The article discusses an acquisition, a common activity within the M&A sector.
Financials
- 3.9 billion – The total valuation of the acquisition deal in USD.
- 2.9 billion – The valuation of Deliveroo in GBP as part of the acquisition deal.
- 0.7407 – The exchange rate from USD to GBP used in the valuation.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| DoorDash | Acquiring Company | Company | A U.S.-based meal delivery service looking to expand into the European market through this acquisition. |
| Deliveroo | Target Company | Company | A UK-based food delivery firm being acquired by DoorDash. |
| European Union | Regulatory Authority | Government | The EU is responsible for reviewing the merger under its simplified procedure. |