Uber Grabs Bigger Delivery Hero Stake to Edge Closer to Takeover

Uber Technologies has increased its stake in Delivery Hero to 36.83% by buying Aspex Management’s share of the German food delivery platform, Bloomberg reported Wednesday (May 27), citing a regulatory filing by Delivery Hero.

The deal also raised Uber’s voting rights attached to shares to 24.99%, according to the report.

Uber’s move came as the company negotiates an acquisition of Delivery Hero. The company’s voting rights attached to shares is just below a threshold that could trigger a mandatory offer, the report said, adding that German law requires any acquirer that gains a stake of at least 30% in voting rights attached to shares to make a mandatory offer.

Before buying Aspex Management’s share of Delivery Hero, Uber had a nearly 20% stake with options for another 5.6% and was the company’s largest shareholder, per the report.

According to a PYMNTS report on Sunday (May 24),  Delivery Hero said it received a takeover offer from Uber. Delivery Hero said in a Saturday (May 23) news release that it “remains fully focused on executing its strategic review process. Further updates will be provided as required or appropriate.”

DoorDash issued its statement following a report from the Financial Times that Uber CEO Dara Khosrowshahi had flown to meet with Delivery Hero supervisory board chair Kristin Skogen Lund on an $11 billion offer to acquire the company.

It was reported Monday (May 25) that Uber’s board met Saturday to discuss increasing its offer for Delivery Hero after a major shareholder at the German company turned down a bid that would have valued the company at more than 11.5 billion euros ($13.3 billion).

Another Monday report said that Prosus NV, a Dutch technology investor that owns roughly 17% of Delivery Hero, has asked European Union regulators to remove a condition requiring Prosus to reduce its stake in Delivery Hero as part of antitrust approval tied to its acquisition of Just Eat Takeaway.

Prosus is seeking to avoid a forced sale while Uber is in talks to acquire Delivery Hero, according to the report. The company previously agreed to sharply reduce its holding in Delivery Hero after the European Commission raised competition concerns over its planned takeover of Just Eat Takeaway.