On May 23 Delivery Hero confirmed it had received a takeover offer from Uber that values the German food delivery group at 33 euros per share. The company said the bid was contained in a statement it issued on Saturday and did not provide further terms beyond the per-share price.
The proposed price equates to a discount of about 1.76% compared with Delivery Hero's last closing price on Friday, based on market data. In recent days Uber has substantially increased its ownership position in Delivery Hero, lifting its stake to roughly 19.5% from about 7% and thereby becoming the largest shareholder. That holding is worth around 1.7 billion euros at current valuations.
Delivery Hero also confirmed developments in its management and governance. The group's chief executive, Niklas Oestberg, said last week he would step down after several large shareholders mounted campaigns calling for a strategic review of the company. Delivery Hero reiterated that it remains fully focused on carrying out that strategic review process and said it would not disclose further details about Uber's offer at this stage.
A separate media report on Friday indicated Uber was exploring the possibility of a full takeover of Delivery Hero. Following that report, shares of Uber fell by 1.6%.
Context and next steps
Delivery Hero's confirmation of a formal offer brings a defined price into the public domain while leaving key questions unresolved. The company has highlighted its ongoing strategic review and has not provided additional information about whether it will recommend or accept the proposal. Management change and the shift in the shareholder base are active elements in the company's near-term governance picture.
Market reaction
Markets registered movement around the disclosure: the per-share offer sits slightly below the most recent closing price for Delivery Hero, and information that Uber may be weighing a full takeover coincided with a drop in Uber's own share price.
Note: This report relays the facts disclosed by the company and public market movements as reported; no additional details on transaction terms were provided by Delivery Hero.