DoorDash acquires Deliveroo — or could soon — after a major $3.6 billion offer landed on April 5. British meal delivery company Deliveroo (ROO.L) announced on Friday that U.S.-based DoorDash (DASH.O) made a formal proposal to buy all of its shares at 180 pence per share.
Deliveroo’s board said it has reviewed the offer and would likely recommend it to shareholders, pending final agreement on additional terms. DoorDash must submit a firm offer by May 23. Reuters reported the proposal, although DoorDash has yet to respond to a request for comment.
JPMorgan is advising DoorDash on the deal, according to a source familiar with the matter. The offer marks the first formal approach since previous reports of interest surfaced last summer, the same source added.
Deliveroo’s shares, which debuted in 2021, have fallen nearly 50% as demand for online food delivery softened after the pandemic. Investors have also shifted focus toward more profitable companies. Deliveroo closed at 146.6 pence on Friday, well below DoorDash’s offer price.
In March, Deliveroo exited Hong Kong, selling assets to Delivery Hero’s foodpanda. The Hong Kong market had been loss-making, representing about 5% of Deliveroo’s total transactions.
Analysts believe the acquisition would face few regulatory challenges. DoorDash currently lacks presence in the 10 new markets Deliveroo serves, making the merger highly complementary. Other competitors might trigger antitrust concerns, but DoorDash’s position looks clear, the source noted.
A deal would significantly boost DoorDash’s European footprint. It would follow DoorDash’s 2021 acquisition of Finland-based Wolt Enterprises, which closed in an $8 billion all-stock deal.
If completed, this move could reshape the global food delivery landscape and solidify DoorDash’s growing dominance beyond North America.
