DoorDash agrees to acquire Instacart for about $17 billion
DoorDash has agreed to acquire grocery-delivery company Instacart in a deal valuing its equity at approximately $17 billion, the companies announced Thursday.
The transaction values Instacart at $65 per share, a 26% premium to its closing price on Oct. 22. At least 75% of the total consideration will be paid in cash. Instacart shareholders may elect to receive cash, DoorDash stock or a combination, subject to limits that cap DoorDash shares at 25% of the aggregate consideration. Instacart’s board unanimously approved the agreement.
DoorDash said Instacart will retain its brand and app, while its independent-contractor shoppers will continue fulfilling orders. Grocers will remain able to choose whether to work with Instacart or DoorDash. The companies said Instacart customers could gain access to more than 50,000 additional stores beyond the nearly 100,000 already available through its …