Uber is set to acquire the African delivery businesses of Glovo and Talabat as part of a €14.8 billion takeover of Germany’s Delivery Hero. The deal hands Uber a larger footprint across some of the continent’s fastest-growing food delivery markets.
Acquisition Details
Uber will offer €41.50 a share in cash for the Frankfurt-listed group, which runs local delivery brands in more than 60 countries. To clear antitrust hurdles, Delivery Hero will sell 14 of its businesses to New York investment firm SSW Partners for about $1.6 billion.
This carve-out allows Uber to keep operations in 50 markets, including every one of Glovo’s African units: Côte d’Ivoire, Kenya, Morocco, Nigeria, Tunisia, and Uganda, plus Talabat’s sizeable Egyptian business. SSW Partners will pick up Glovo’s European operations in Spain, Portugal, Poland, Romania, and Moldova.
Impact on the Market
Uber CEO Dara Khosrowshahi described the deal as a way to extend affordable, reliable delivery to millions more people across some of the world’s most dynamic economies. The acquisition nearly doubles the number of markets where Uber runs both ride-hailing and delivery side by side.
The African assets give Uber a young, fast-growing customer base in cities where smartphone adoption and an expanding middle class have driven demand for on-demand delivery. Talabat already holds a dominant position in Egypt, while Glovo has built strong footholds in cities like Nairobi, Lagos, and Casablanca.
Uber will now be in more direct competition with Bolt Food across the region, as well as with local start-ups and informal delivery networks that have grown alongside the formal platforms. Before the announcement, Uber already held close to a 25% direct stake in Delivery Hero.
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Financing and Projections
Uber has lined up around €14 billion in bridge financing from banks including Morgan Stanley, Bank of America, and Deutsche Bank. The company expects the deal to boost earnings per share once it closes, with high-single-digit percentage accretion projected by year three.
Delivery Hero’s supervisory board has backed the offer unanimously, with Chair Kristin Skogen Lund calling joining forces with a stronger partner the right move to secure the company’s future competitiveness.
As part of its commitments in Germany, Uber has agreed to keep Delivery Hero’s Berlin headquarters and make no workforce changes there until at least 2029, alongside a pledge to invest €2 billion in the country over five years.
Consolidation in Food Delivery
Analysts see the transaction as another sign of the consolidation race in food delivery, where profitability is hard to reach without real market share. Africa’s delivery market is fragmented.
Smaller players may struggle to compete with Uber’s increased scale and resources.
Uber’s expansion into the African market is a significant development in the company’s efforts to grow its delivery business. The deal is expected to close in the second half of 2027.
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