DoorDash has agreed to buy rival delivery platform Instacart in a deal worth approximately $17 billion, bringing together two of the biggest names in US food and grocery delivery.
The transaction values Instacart at $65 (£50) a share, with at least 75% of the consideration to be paid in cash. Instacart shareholders can choose cash, DoorDash shares or a combination of the two, subject to limits on the amount of stock issued. ([ir.doordash.com](https://ir.doordash.com/news/news-details/2026/DoorDash-to-Acquire-Instacart-to-Help-Local-Stores-Win/default.aspx?ftag=YHF4eb9d17&utm_source=openai))
The agreement was approved unanimously by Instacart’s board and by the boards of both companies. The $65 offer represents a 26% premium to Instacart’s closing share price on 22 October, before reports of a possible takeover emerged.
Completion is expected by the end of 2027 or during the first half of 2028, subject to approval by Instacart shareholders, antitrust review in the United States and regulatory clearance in countries including Canada and Israel. Shareholders representing about 19% of Instacart’s outstanding shares have agreed to support the deal. ([about.doordash.com](https://about.doordash.com/en-us/news/doordash-to-acquire-instacart?utm_source=openai))
What the DoorDash-Instacart deal means for customers
DoorDash said Instacart’s name and app are expected to remain in place after the acquisition. The companies will continue to operate separately until the transaction is completed.
Instacart customers could gain access to more than 50,000 additional stores through DoorDash’s network, on top of the nearly 100,000 stores already available on Instacart. The combined business is also expected to offer faster delivery options and wider access to local retailers.
Customers who use both companies’ subscription services could eventually pay one membership fee instead of two. DoorDash estimates that combining DashPass and Instacart+ in this way could save members about $100 million a year, although it has not said whether either subscription price will change before the deal closes. ([ir.doordash.com](https://ir.doordash.com/news/news-details/2026/DoorDash-to-Acquire-Instacart-to-Help-Local-Stores-Win/default.aspx?ftag=YHF4eb9d17&utm_source=openai))
DoorDash also said Instacart shoppers would be able to retain the flexibility to choose when they work and which orders they accept. They would also have the option of taking DoorDash orders or continuing to shop only through Instacart.
Tony Xu, DoorDash’s co-founder and chief executive, said Instacart had spent years developing expertise in online grocery shopping, while DoorDash had built a large delivery network and technology platform used by local businesses.
“Together, we could give stores of every size more of those tools and unlock the potential of grocery delivery,” Mr Xu said.
Instacart chief executive Chris Rogers said the merger would combine the company’s grocery technology and retailer relationships with DoorDash’s consumer reach and delivery infrastructure.
DoorDash delivered 993 million orders in the third quarter of 2026, up 28% year on year, while Instacart delivered 90.3 million orders in the second quarter. DoorDash reported quarterly revenue of $4.6 billion, compared with more than $1 billion for Instacart. ([fox5ny.com](https://www.fox5ny.com/news/doordash-buying-instacart-17b-what-means-customers))
