DoorDash acquires Instacart in $17 billion deal

DoorDash agreed to acquire Instacart in a deal valued at $17 billion, equal to $65 per Instacart share. DoorDash said both companies' boards approved the sale, and the companies announced it in a press release on Thursday. At least 75% of the transaction is cash, and Instacart stockholders may choose cash, DoorDash stock or both, with stock not exceeding 25% of the aggregate consideration.

DoorDash said the Instacart brand and app will remain in place, and Instacart shoppers can keep fulfilling Instacart orders. DoorDash said the deal will give Instacart customers access to 50,000 additional stores covered by DoorDash. DoorDash CEO Tony Xu said the combination would give stores of every size more delivery and technology tools, while Instacart CEO Chris Rogers said it would let the companies offer better experiences and value to customers and shoppers.

The deal is expected to close at the end of 2027 or in the first half of 2028. DoorDash said Instacart+ and DashPass members could pay one membership fee instead of two. The article said it is unclear whether membership fees will change after the deal closes.