Uber Technologies on Monday offered to buy Postmates in a $2.65 billion (roughly Rs. 19,741 crores) all-stock deal, looking to expand its reach in the food-delivery services arena while more people order at home due to coronavirus-led restrictions.
Postmates was last valued at $2.4 billion, when it raised $225 million in a private fundraising round last September. Postmates chief executive Bastian Lehmann will stay on to manage Postmates as a separate service, it was reported.
Gigi Hadid Denies She's Ever Tried to 'Disguise' Her Pregnancy
Gigi Hadid has always been very open about starting a family and we are super happy for the couple. "I'm trying [to be present for every part of it]".
Uber and its Uber Eats food-delivery division will gain ground against DoorDash, which controls about 37% of the USA food delivery market.
Representatives for Uber and Postmates declined to comment.
Bloomberg reported talks between the two parties had been "on and off" for around four years but moved forward within the last week after a new approach from Uber.
Can an ad boycott change Facebook? It's complicated
Shares of Facebook, which closed at $232.62 on Friday, June 26, fell to $209.50 on Monday before rising to $233.42 on Thursday. He said: "My guess is that all these advertisers will be back on the platform soon enough".
Last month, Uber lost out in a bid for Grubhub, which would have made it the dominant USA food-delivery service.
It was reported that Uber's board has already approved the deal for Postmates.
Founded in 2011, Postmates was one of the first to let customers in the USA order meal delivery using a mobile app. The company said in February 2019 that it had filed paperwork confidentially for an initial public offering but never went public. Previous year the company raised capital at a valuation of $2.4 billion.
China’s shocking claim about the origin of coronavirus
In India, the COVID-19 tally has crossed 6.45 lakh. A novel coronavirus was eventually identified. China finally replied on January 3.