From Yahoo Finance: 2025-04-28 09:00:00

Shares of Deliveroo surged to three-year highs after receiving a $3.6 billion takeover offer from DoorDash. Deliveroo announced the bid after suspending a $133.5 million share buyback. The company’s board is engaging with DoorDash and will recommend the bid to shareholders if financial terms are met.

Deliveroo has given DoorDash access to due diligence and set a deadline of May 23 for a firm buyout offer. This potential deal follows Prosus’ agreement to acquire Just Eat Takeaway.com for $4.29 billion. DoorDash is expanding its food delivery portfolio in Europe, where Deliveroo operates.

DoorDash currently operates in the U.S., Canada, New Zealand, and Australia, while Deliveroo is in 10 markets worldwide, reporting its first annual profit last year. In 2024, Delivery Hero sold its stake in Deliveroo. Analysts see strategic value in the potential merger for DoorDash’s expansion and long-term cash flow.

Shares of Deliveroo rose over 17% on the London Stock Exchange on Monday, reflecting investor optimism about the potential takeover offer and the company’s growth prospects.

Read more: Food delivery service Deliveroo surges following $3.6B proposed takeover offer from DoorDash