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Uber to Acquire Postmates in USD 2.65bn Transaction
Tuesday 07 July 2020

California-based ride-hailing company Uber Technologies, Inc. (NYSE: UBER) has agreed to acquire US delivery business, Postmates, Inc. in an all-stock transaction valued at USD 2.65bn, the company said.

Uber currently estimates that it will issue approximately 84m shares of common stock for 100% of the fully diluted equity of Postmates.

The combination of platforms are expected to provide more choice and convenience for consumers, increased demand and tailored technology offerings for restaurants, and new income opportunities for delivery people.

The boards of directors of both companies have approved the transaction, and stockholders representing a majority of Postmates' outstanding shares have committed to support the transaction.

The transaction is subject to the approval of Postmates stockholders, regulatory approval and other customary closing conditions and is expected to close in the first quarter 2021.

Wachtell, Lipton, Rosen and Katz served as legal counsel to Uber. J.P. Morgan Securities LLC served as financial advisor and Latham and Watkins LLP as legal counsel to Postmates.

Uber Technologies, Inc. is an American multinational ride-hailing company offering services that include peer-to-peer ridesharing, ride service hailing, food delivery, and a micromobility system with electric bikes and scooters.
Date Published: 07/07/2020