Brussels – The European Commission has announced that the proposed $3.9 billion acquisition of Deliveroo by U.S. food delivery giant DoorDash will be reviewed under the EU’s simplified merger process, according to documents reported by Reuters.
DoorDash and Deliveroo finalized an agreement in May 2025, placing Deliveroo’s valuation at approximately £2.9 billion, equivalent to around $3.92 billion. Since its launch in 2021, Deliveroo’s stock has significantly declined due to a decrease in demand for online food delivery following the COVID pandemic.
The EU regulator’s use of the simplified procedure indicates the absence of serious competition concerns, suggesting that approval is highly probable.
Why is the EU using its simplified merger process?
The EU’s simplified merger procedure streamlines the review of mergers and acquisitions that are not expected to pose significant competition issues. This approach allows the Commission to conduct a more straightforward assessment without initiating a comprehensive investigation, thereby reducing the information burden on the involved parties.
This procedure is applicable when a merger does not result in substantial market overlaps or when the combined market share is below specific thresholds.
DoorDash, a leading food delivery service based in San Francisco, California, enables consumers to place on-demand food orders from local restaurant partners through its online platform.
This acquisition marks a significant step in DoorDash’s expansion into the European market. Their Fiscal Year 2025 filings demonstrate robust revenue growth, reporting a total income of approximately $11.9 billion for the fiscal year ending June 30, 2025.
Why have Deliveroo’s shares fallen since its 2021 debut?
Founded in 2013, Deliveroo is a UK-based online food delivery company that connects customers with restaurants and delivery riders across its operating regions, primarily in the United Kingdom and Europe.
Since its public listing in 2021, Deliveroo has faced considerable challenges, including a growing series of losses attributed mainly to aggressive expansion and stiff competition within the food delivery market.
