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Summary of article:
DoorDash is rumored to be in talks to acquire Instacart. If the deal is completed, it will be incorporated into the fresh grocery delivery platform with a valuation of about 17 billion yuan, further expanding its delivery business scope.
According to a Wall Street Journal report cited by the San Jose Mercury News,Doordash The company, popular for delivering food and retail goods to customers’ doorsteps, is in talks to acquire fresh grocery delivery platform Instacart.
Both rivals compete with many other online delivery servicesAmazon (Amazon),wal-mart (Walmart), Postmates and Uber (Uber). However, Instacart focuses on fresh grocery delivery rather than restaurant-made food.
DoorDash could complete the acquisition of Instacart as early as this week, the report said, citing people familiar with the matter. The deal values Instacart at about $17 billion.
Before the report about the potential acquisition was released on Monday (26th), Instacart’s market value was about 13 billion yuan. In the past five days, its share price has risen by about 19% to about 60 yuan per share; Its market value is 14 billion yuan.
At the same time, DoorDash’s share price has fallen 10% in the past five days, closing at about 170 yuan per share on Tuesday (27th); Its market value is about 73 billion yuan.
DoorDash went public in 2020 at the height of the COVID-19 pandemic, and Instacart went public in 2023.
DoorDash is looking to expand its business through drones and autonomous delivery robots, and currently provides delivery services to supermarkets like Kroger and Safeway. The company also partners with CVS, Macy’s, and Target to deliver a variety of daily necessities.
If DoorDash acquires Instacart, it would add a major platform focused on fresh food delivery to its business line. Both companies rely on independent contractors to pick and deliver items to customers through the apps.
The Wall Street Journal also reported that Uber had considered acquiring Instacart, but talks were no longer ongoing. DoorDash did not immediately respond to a request for comment.
Summary FAQ
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According to reports, DoorDash is in acquisition talks with Instacart, and the transaction is reported to be completed as early as this week, valuing Instacart at approximately 17 billion yuan.
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Instacart focuses primarily on delivery of fresh groceries, while DoorDash focuses on delivery of food and retail goods. Although they are both delivery platforms, their service scenarios and product types differ.
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If the Instacart acquisition is successful, DoorDash will strengthen its fresh food delivery capabilities, expand its platform business scope, and gain greater advantages when competing with competitors such as Amazon, Walmart, and Uber.
