Uber to Acquire ezCater for $2.3 Billion
Uber has agreed to acquire U.S. workplace-catering platform ezCater for $2.3 billion in cash, expanding its food-delivery business beyond individual restaurant orders and deeper into corporate meals.
The deal was announced today as Uber continues to look for new sources of growth across its delivery operations.
ezCater connects businesses with restaurants and catering companies for workplace meals and events.
By bringing the platform into its operations, Uber will gain access to a specialized corporate-catering market while combining it with its existing delivery network.
The acquisition gives Uber another opportunity to increase the scale of Uber Eats. The company has been expanding its delivery business beyond traditional restaurant orders, including grocery deliveries and other services that can generate revenue from customers and businesses.
The transaction also reflects Uber’s broader strategy of using acquisitions to strengthen its position in markets where it already has delivery infrastructure.
Corporate catering can provide larger orders than individual food deliveries and could give Uber access to a different category of customers.
For Uber, the deal comes as the company continues to diversify beyond ride-hailing.
The acquisition will now need to go through the relevant closing conditions before Uber completes the purchase of ezCater.
Source: Reuters.
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