Uber to acquire Delivery Hero, bringing Baedal Minjok under its wing

Global mobility giant Uber is set to acquire German food delivery company Delivery Hero in a landmark deal valued at approximately $14.8 billion (21.9 trillion won). This strategic acquisition will integrate Delivery Hero's extensive operations worldwide, including South Korea's dominant food delivery app, 'Baedal Minjok,' into Uber's growing portfolio.

Upon completion of the transaction, Uber will significantly expand its global footprint, incorporating food delivery businesses across 50 markets, such as Baedal Minjok in Korea and Foodpanda in Southeast Asia. This will increase the number of countries where Uber offers both mobility and food delivery services from 34 to 58.

The acquisition is viewed as a critical move in the intensifying global competition within the food delivery sector. Following the pandemic-induced growth slowdown, major food delivery platforms are increasingly relying on aggressive mergers and acquisitions (M&A) to drive market expansion. Industry analysts predict a future landscape dominated by a duopoly, with Uber and the largest U.S. food delivery platform, DoorDash, emerging as the primary players.

However, the deal excludes 14 markets where Uber Eats and Delivery Hero's businesses overlap. Delivery Hero will separately sell its operations in these regions, including Europe, Latin America, and Turkey, to the U.S. investment firm SSW Partners for approximately $1.6 billion (2.3 trillion won). Uber has assured users in Korea that services and experiences they trust will continue with necessary support and resources.

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We will continue to provide the necessary support and resources to ensure that the services and experiences that Korean users have trusted can be continued.