DoorDash strikes $17 billion deal for US rival Instacart in grocery delivery push
DASH•DoorDash said it would buy Instacart in a deal valued at about $17 billion, expanding its push into US grocery delivery. Instacart expects $55 million to $80 million in pre-tax charges as it winds down its Caper Cart business by the second quarter of 2027.
1. Deal expands grocery push
DoorDash said it would buy Instacart in a deal valued at about $17 billion, as competition among app-based platforms intensifies and companies seek growth in grocery and retail delivery.
2. Industry and company context
The article cites a slowdown in orders from pandemic peaks, rising cost pressures and regulatory scrutiny over gig-worker treatment as factors behind a flurry of industry deals. Instacart shares have risen nearly 30% this year, while DoorDash shares have fallen about 25%.
3. Caper Cart wind-down
Instacart said in a regulatory filing that it would wind down its Caper Cart smart shopping-cart business by the end of the second quarter of 2027, expecting related pre-tax charges of $55 million to $80 million.
