DoorDash agrees to acquire Instacart in a deal valued at about $17 billion
Oct 30, 2026
DoorDash (NASDAQ: DASH) and Instacart (Maplebear Inc., NASDAQ: CART) announced on Thursday, October 29, 2026 that they have signed an agreement under which DoorDash will acquire Instacart.
Deal terms
According to the companies' announcement:
- Instacart shareholders will receive $65.00 per share
- the deal values Instacart at an equity value of about $17 billion
- at least 75% of the total consideration will be paid in cash, and DoorDash shares will make up no more than 25%
- the price is 26% above Instacart's closing price on October 22, 2026, the last trading day before media reports about a possible deal
Instacart shareholders can choose to receive, for each share:
- $65.00 in cash, or
- 0.3372 DoorDash shares, or
- $48.75 in cash plus 0.0843 DoorDash shares
If too many shareholders choose shares, the elections will be adjusted (prorated) so that the overall cash and share limits are met.
Approvals and timing
Instacart's board of directors unanimously approved the agreement. The deal requires approval from Instacart shareholders. Holders of about 19% of Instacart's shares have agreed to vote in favour. It also needs regulatory approvals, including the expiry of the US waiting period under the Hart-Scott-Rodino Act and approvals in Canada and Israel. The companies expect the deal to close at the end of 2027 or in the first half of 2028.
Until then, both companies will continue to operate independently.
Financing
DoorDash plans to pay for the deal with cash on hand and new debt. JPMorgan Chase Bank has provided a commitment for a 364-day bridge loan. The deal is not conditional on financing, and DoorDash said it aims to keep investment-grade credit ratings.
What the companies said
DoorDash co-founder and CEO Tony Xu said: "Grocery is one of the hardest things to get right online." Instacart CEO Chris Rogers said that over the last 14 years Instacart has transformed online grocery.
After the deal closes, DoorDash expects to keep the Instacart brand, app and its technology products for retailers.
What the combined business would look like
According to the announcement:
- Instacart works with nearly 100,000 stores, and its customers could gain access to more than 50,000 additional stores
- DoorDash has handled more than 10 billion consumer orders since 2013 and operates in more than 40 countries
- the companies estimate that combining DashPass and Instacart+ memberships could save members about $100 million a year
About the two companies
DoorDash runs a platform for ordering food, groceries and other goods from local shops and restaurants for delivery. Instacart, whose parent company is Maplebear Inc., focuses on online grocery shopping and delivery and also sells software and advertising services to retailers.
What a cash-and-stock election means
In some deals, shareholders of the company being acquired can choose how they are paid. Cash gives a fixed amount, while shares make the final value depend on the buyer's share price when the deal closes. When there are limits on the total amount of cash or shares, the elections may be scaled back.
Regulatory review
Large deals in the US are reviewed by competition authorities, such as the Federal Trade Commission or the Department of Justice. They check whether a deal could reduce competition. Reviews can take months and may lead to conditions or to a deal being blocked.
What to watch
Key items include the Instacart shareholder vote, competition reviews in the US and other countries, DoorDash's financing and the timing of the closing.
Risks and uncertainties
Acquisitions may not be completed on the expected timetable or at all, and regulators may require changes. The expected benefits may not be achieved. Shares can be volatile.
What this means for investors
For Investing.one users following DASH, the deal terms and the approval process may be relevant. The information above is based on the companies' announcement.
Sources
This is not investment advice. Your capital is at risk.
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