DoorDash to Acquire Instacart in Landmark $17 Billion Deal
DoorDash has agreed to acquire grocery delivery rival Instacart for $17 billion. The deal, announced on Thursday, October 29, 2026, would bring two major on-demand delivery platforms under one roof.
The acquisition combines DoorDash’s strong position in restaurant delivery with Instacart’s extensive grocery delivery network. Consequently, the deal could reshape the competitive landscape of the online delivery market.
DoorDash will acquire Instacart for $65 per share, representing a total transaction value of $17 billion. Moreover, the boards of both companies have approved the agreement.
Combined Platforms Aim to Expand Grocery Delivery
DoorDash plans to retain Instacart’s brand, enterprise technology products and mobile app. Meanwhile, both platforms will continue operating as separate, independent companies until the transaction closes.
Additionally, the acquisition could help grocery retailers strengthen their online businesses. Retailers could use Instacart’s technology to develop online ordering platforms and advertising operations.
At the same time, they could access DoorDash’s fulfilment network to manage online orders. This combination could also support lower-cost delivery options for customers.
Stronger Grocery Technology and Retail Partnerships
The acquisition could expand access to advanced grocery delivery technology. Furthermore, combining Instacart’s retail partnerships with DoorDash’s logistics capabilities could benefit businesses of different sizes.
Instacart brings established relationships with grocery retailers and brands. In contrast, DoorDash contributes an extensive consumer network and delivery infrastructure.
Together, these capabilities could help retailers improve fulfilment operations and reach more customers. They could also create additional opportunities for businesses seeking to expand their digital services.
Instacart’s Market Position and Previous Acquisition Talks
Instacart currently has a market capitalisation exceeding $13 billion. Furthermore, its share price has increased by approximately 25% year to date.
The acquisition offers Instacart an opportunity to secure a substantial valuation. It also comes amid intensifying competition across the grocery delivery sector.
Previously, Bloomberg reported that Instacart had held acquisition discussions with Uber. However, Instacart reportedly walked away from those negotiations on October 23.
The proposed $17 billion transaction positions DoorDash to strengthen its presence in grocery delivery. Ultimately, the combined capabilities could create new opportunities for retailers, shoppers and delivery customers.
