DoorDash to acquire Deliveroo and reservations firm SevenRooms

The two deals total more than $5 billion. | Photo: Shutterstock

Delivery giant DoorDash is making two acquisitions that will expand its footprint globally and into restaurants’ on-premise business.

It has an agreement to acquire Deliveroo, the U.K.-based delivery service, for $3.9 billion. The deal will bring DoorDash into 10 new countries in Europe, Asia and the Middle East. 

DoorDash also plans to acquire SevenRooms, a reservations and digital marketing company, which it says will help restaurants drive in-store sales. It will pay $1.2 billion in cash. 

The two deals solidify DoorDash as a global delivery leader as well as an all-around technology supplier to restaurants for both their off- and on-premise needs.

In a comment on the Deliveroo acquisition, CEO Tony Xu essentially summed up the strategy behind both deals: “Our mission at DoorDash is to grow and empower local economies,” he said. “Coming together with teams that have similar visions and values accelerates our work to achieve that mission.” 

With Deliveroo, DoorDash will be in 40 countries with more than 1 billion people. 

New York-based SevenRooms, meanwhile, works with more than 13,000 restaurants, hotels and other venues globally, including Union Square Hospitality Group, Nobu and Marriott International. 

Founded in 2011, its products include reservations, waitlist and table management, review aggregation, and marketing tools. It allows restaurants to create customer profiles and says its goal is to help operators turn customers into regulars.

DoorDash’s stock was down more than 5% in premarket trading. 

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