DoorDash agrees to acquire Instacart for about $17 billion
publishers 61articles 68first reported 24 Oct, 16:30 UTCdeveloping since 24 Oct · 8 editionstop 25 #8
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 platform.
The acquisition combines Instacart’s grocery-ordering and fulfillment technology with DoorDash’s delivery network. Instacart, founded in 2012, specializes in grocery and convenience-store delivery in the United States and Canada. DoorDash began with restaurant delivery and later expanded into groceries and other retail categories.
The deal brings together two major delivery platforms as Amazon and Walmart expand their own rapid grocery-delivery businesses. Analysts cited by CNBC before the announcement said the companies’ overlapping operations could draw antitrust scrutiny.
HOW THIS STORY WAS MADE
Written from 8 articles, 4 with the publisher's own text; 8 independent newsrooms once syndicated copies count as one; this version written 120 h after the record first saw the story; the editor kept it as written.
- Publishers
- 61
- Source articles
- 68
- Given to the writer
- 8, 4 with the article's own text
- Independent newsrooms
- 8
- This version written
- 120 h after the record first saw the story
- Second model (editor)
- kept as written
- Publication gate
- passed
- Human review
- none
WHAT THE EDITOR DID
The second model checked the writer's draft against the same sources and published it as written.
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