Uber will acquire food delivery startup Postmates in $2.6 billion all-stock deal, reports say

Uber is set to acquire food delivery startup Postmates in a $2.6 billion deal, The New York Times and Bloomberg reported on Sunday.

People familiar with the matter told Bloomberg and The Times that the all-stock deal could be announced as soon as Monday. According to The Times, Uber is expected to merge Postmates with its popular homegrown food delivery app Uber Eats.

Pierre-Dimitri Gore-Coty, the Vice President of Uber Eats, is expected to run the combined delivery business, according to both The Times and Bloomberg.

Postmates was co-founded by Bastian Lehmann, Sam Street, and Sean Plaice in 2011 and has grown to include a fleet of over 500,000 members and 600,000 merchants across 50 states.

Last month, Uber lost out to European food delivery service Just Eat Takeaway in a deal to buy US-based Grubhub for $7.3 billion. According to CNBC, Uber may have pulled out of the deal over antitrust concerns.

According to analytics firm Second Measure, Postmates made up about 10% of food delivery sales in 2019, while Postmates accounted for 32%. UberEats made up 20% of sales.

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