$ 8 billion Wolt deal largest in the industry
DoorDash, the largest food delivery service in the United States, said it was buying Finnish food delivery startup Walt Enterprises Oy for about $ 8 billion.
The sale of all shares is DoorDash’s largest purchase to date, eclipsing the acquisition of Caviar in 2019. Last year, Just Eat Takeaway.com NV bought Grubhub for $ 7.3 billion and Uber Technologies Inc. acquired Postmates Inc. for $ 2.65 billion
The merger will expand the number of DoorDash customers to 700 million
Tony Xu, co-founder and CEO of DoorDash, said, “This relationship is targeted at accelerating and expanding to play for a bigger prize on an even wider global stage.”
Xu stated that Wolt, based in Helsinki, operates in 23 European markets, 22 of which will be new to DoorDash, bringing the total number of clients to 700 million.
“Wolt has a long runway ahead of it, and our collaboration creates the groundwork for our international expansion,” Xu said.
Walt specialised in mid-market markets from Helsinki to Tel Aviv, with plans to expand to Berlin and Tokyo in 2020. Despite Wolt’s influence, DoorDash will remain unavailable in the United Kingdom, where Uber has been active since 2016.
In expanded trading in New York, DoorDash shares jumped 24 percent on news of the deal and third-quarter results that topped analysts’ forecasts.