DoorDash agreed on Thursday, October 29, 2026, to buy grocery-delivery rival Instacart in a deal worth about $17 billion.
It offered $65 per share, 26% above Instacart’s closing price on October 22. At least 75% of the payment will be cash. Instacart shareholders can choose cash, DoorDash stock or a mix, subject to limits.
DoorDash stock is capped at 25% of the total payment. Instacart’s board unanimously approved the agreement. DoorDash says the deal would combine its delivery network with Instacart’s grocery marketplace, retailer partnerships and technology for handling orders.
The companies’ advertising and AI tools would also be combined. The companies say customers would be able to shop through either app or participating retailers’ websites. They say Instacart users would gain access to more stores.
The companies expect the deal to close in late 2027 or the first half of 2028. Closing depends on shareholder and regulatory approvals and other usual conditions. The companies will continue to operate separately until the transaction closes.
The acquisition would strengthen DoorDash’s position in grocery and retail delivery. App-based services compete with one another and with large retailers’ online offerings.