Confronting the DoorDash Global Alliance: Uber Technologies, Inc. (UBER.US) increases its holdings in Delivery Hero to 19.5%, but explicitly states its "unintentional control"

Uber Technologies, Inc. (UBER.US) continues to increase its stake in the German food delivery giant Delivery Hero, with its ownership stake rising from 7% in April to 19.5%, along with holding a 5.6% options position, becoming the largest shareholder of the German company. From the perspective of capital operations, Uber Technologies, Inc. had shown interest in Delivery Hero early on. In April of this year, Uber Technologies, Inc. acquired a 4.5% stake from Delivery Hero's then single largest shareholder, the Dutch technology investment group Prosus, for approximately 270 million euros (equivalent to 318 million US dollars). Behind this deal was a regulatory background - the European Commission required Prosus to significantly reduce its stake in Delivery Hero within 12 months after its acquisition of Just Eat Takeaway.com for approximately 4.1 billion euros. Uber Technologies, Inc. stepping in coincided with Prosus passively exiting the scene. A month later in May, Uber Technologies, Inc. further increased its ownership stake to 19.5% through secondary market purchases and financial instrument allocations. According to estimates, Uber Technologies, Inc.'s current stake is worth approximately 1.7 billion euros. At the same time, the Hong Kong-based activist investor Aspex Management also increased its ownership stake to around 15% in May. The top two shareholders of Delivery Hero were already in place. Delivery Hero: Strategic siege under huge losses Founded in 2011, Delivery Hero headquartered in Berlin, Germany, is one of the world's largest local delivery platforms with operations covering approximately 65 countries and regions in Asia, Europe, Latin America, the Middle East, and Africa under brands such as Foodpanda, Talabat, and PedidosYa. However, this globally positioned company is caught in a dual dilemma of performance woes and capital pressures. In the 2025 fiscal year, Delivery Hero's total revenue increased by 23.1% to approximately 14.8 billion euros on a segment basis, with net losses narrowing but to a limited extent. Due to a significant slowdown in growth in its core profit engine in the Middle East and North Africa, the company's stock price plummeted by over 6% after the annual financial report was released, with a per-share price of around 19 euros, down more than 85% from its peak of over 130 euros in 2021. An even bigger variable comes from internal governance. After continued pressure from Aspex Management, co-founder and CEO Niklas stberg has announced that he will step down no later than March 31, 2027, and the supervisory board plans to appoint a successor by the end of 2026. With aggressive shareholder demands and continued financial losses in play, Delivery Hero is currently facing one of the most delicate governance windows in its corporate history. However, this may be the perfect timing for Uber Technologies, Inc.'s capital intervention. Uber Technologies, Inc.: Recognizing the strategic value of assets, no acquisition plans for now For Uber Technologies, Inc., increasing its stake in Delivery Hero is not a hasty decision but an important part of its global food delivery defense strategy. Currently, Uber Technologies, Inc. lags behind DoorDash in the US domestic market, with a market share of only 25%, while DoorDash holds a dominant position with 67%. As DoorDash consolidates its strong position in the US and accelerates its global expansion, having acquired Finland's Wolt (for 8.1 billion USD in 2021) and the UK's Deliveroo (for 2.9 billion GBP in 2025), covering more than 40 markets. Facing the rapid expansion of competitors in global markets, Uber Technologies, Inc. is actively seeking overseas footholds. Delivery Hero's extensive coverage in approximately 65 countries and regions, especially its deep operations in markets like the Middle East, North Africa, and Asia, provides Uber Technologies, Inc. with a strategic buffer zone to counter the DoorDash-Wolt-Deliveroo alliance. However, in the announcement of the increased stake, Uber Technologies, Inc. explicitly stated: "There is currently no intention to acquire 30% or more of the voting rights in Delivery Hero." According to German securities regulations, this statement means that Uber Technologies, Inc. will not seek majority control of Delivery Hero in the short term. JPMorgan analyst Marcus Diebel pointed out that Uber Technologies, Inc.'s increased stake at least clearly conveys recognition of the strategic value of its assets and reserves bargaining chips for potential future spin-offs. The capital and governance cross-play in the global food delivery industry is accelerating. Delivery Hero has stated that it welcomes further investment from Uber Technologies, Inc., and the company will continue to focus on improving operational efficiency and advancing strategic reviews to create long-term value for all shareholders. As of the Frankfurt closing on May 18, Delivery Hero's stock price rose by 5.6%. This event has also attracted the attention of several investment banks, with JPMorgan maintaining an "overweight" rating and a target price of 28 euros, while UBS similarly maintains a "buy" rating with a target price of 32 euros.