DoorDash agrees to acquire Instacart for $17 billion

DoorDash has agreed to acquire Instacart for $17 billion, the companies announced Thursday. DoorDash will pay $65 per Instacart share, and the boards of both companies have approved the deal.

The acquisition would bring two major on-demand delivery companies under one roof, combining DoorDash’s restaurant delivery business with Instacart’s grocery reach. DoorDash plans to retain Instacart’s brand, enterprise technology products, and app. The companies will continue operating separately and independently until the transaction closes.

DoorDash says the combined businesses could help grocers expand their own online ordering and advertising using Instacart’s technology, while also using DoorDash’s fulfillment services for more online orders and lower-cost delivery. Instacart CEO Chris Rogers said the combination could create opportunities for retail and brand partners, improve the experience for customers and shoppers, and provide value for shareholders. DoorDash CEO Tony Xu said the companies could give stores of every size more tools for grocery delivery.

Instacart has a market capitalization of more than $13 billion, and its stock is up 25% year to date, according to the source. Bloomberg previously reported that Instacart had held talks with Uber, but walked away from discussions. The deal is expected to close toward the end of 2027 or in the first half of 2028.