DoorDash has reportedly announced two significant acquisitions aimed at expanding its reach in Europe and diversifying its revenue sources.
The company will acquire UK-based food delivery rival Deliveroo for approximately £2.9 billion (around $3.86 billion) and SevenRooms, a hospitality software provider, for $1.2 billion in cash.
The acquisition of Deliveroo will allow DoorDash to enter nine new European markets, enhancing its competitive edge against rivals like Just Eat Takeaway and Uber Eats.
DoorDash plans to pay Deliveroo shareholders 180 pence per share, representing a 44% premium over the share price prior to the offer.
Founded in 2013, Deliveroo went public in 2021, benefiting from a surge in demand for food delivery during the pandemic.
However, as consumer behavior shifted back towards in-person dining, Deliveroo faced intense competition and declining stock prices, prompting its decision to sell.
The company reported revenues of about £2 billion and a gross transaction value of £7.1 billion for the year ending December 2024.
In addition to Deliveroo, DoorDash’s acquisition of SevenRooms will integrate restaurant reservation and guest management features into its B2B Commerce Platform, allowing for further diversification beyond food delivery.
SevenRooms has raised approximately $75 million and serves notable clients such as MGM Resorts and Marriott International.
The Deliveroo deal is expected to close in the fourth quarter of 2025, while the SevenRooms acquisition should finalize in the latter half of 2025, pending regulatory approval.
With these acquisitions, DoorDash aims to strengthen its position in the food delivery market and enhance its service offerings.
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