Delivery Hero: Takeover poker continues to drive stock higher

Uber's board is said to have discussed a further increase in the takeover offer for Delivery Hero on Saturday. Previously, the company had offered one of the largest shareholders of the Berlin-based delivery service 38 euros per share, but was unsuccessful, reports the Financial Times. The offer would have valued Delivery Hero at around 11.5 billion euros.

Several shareholders were seeking a price of more than 40 euros per share for the entire group, it was added. That would correspond to a premium of 19 percent on Friday's closing price.

It was already Uber's second attempt. Delivery Hero confirmed on Saturday that Uber had submitted a non-binding takeover offer of 33 euros per share to shareholders last week. The statement followed an earlier report by the Financial Times. According to the report, Uber CEO Dara Khosrowshahi flew to Oslo last week specifically to promote the offer, but was rebuffed.

Delivery Hero's board is examining a complete sale or transactions in which the Middle East and South Korea businesses could be spun off, sources say. The takeover poker temporarily pushed the Delivery Hero share price to around 37.9 euros on Monday, its highest level since late November 2024. It has thus gained for the eleventh consecutive trading day, by more than 80 percent in total.

DoorDash also examining entry

In addition to Uber, DoorDash has also spoken with several Delivery Hero shareholders in recent days about acquiring their shares, the newspaper reports. The competitor is primarily interested in the Middle East business, but has also examined a takeover of the entire group. It remains open at what price and under what conditions a change of ownership could occur. Both interested parties could still withdraw.

Uber disclosed a week ago that the company has increased its stake in Delivery Hero from around seven to almost 20 percent and holds options for an additional 5.6 percent. Uber is now the largest shareholder, ahead of the Dutch tech investor Prosus with 16.8 percent and Aspex Management with about 15 percent. At the time, the official statement was that Uber currently plans no takeover and does not intend to exceed the control threshold of 30 percent of the voting rights. However, the existing stake already gives Uber a strong position and could become an obstacle for other bidders.

Delivery Hero is headquartered in Berlin but is no longer active operationally in Germany. Internationally, the company is one of the largest delivery platforms in the world with brands such as Talabat, Foodpanda, and Glovo. Uber operates its own food and delivery service with Uber Eats, including in many German cities. A potential deal would be part of a larger consolidation in the delivery market, in which DoorDash with Deliveroo and Prosus with Just Eat Takeaway have recently initiated multi-billion euro takeovers.

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