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DoorDash and Instacart announced a definitive acquisition agreement valuing Instacart at about $17 billion, or $65 per share. The transaction is at least 75% cash, remains subject to closing conditions, and would combine DoorDash’s delivery network with Instacart’s grocery technology.
DoorDash has agreed to acquire Instacart in a transaction that values the grocery-delivery company at about $17 billion, combining DoorDash’s delivery network with Instacart’s grocery and fulfillment technology. The companies said Instacart shareholders will receive $65 per share, subject to the deal’s terms and closing conditions.
The announced consideration is at least 75% cash. Instacart shareholders can elect cash, DoorDash stock or a combination, with proration applying if needed to keep DoorDash shares at no more than 25% of the aggregate consideration. Instacart’s board unanimously approved the agreement, according to the companies.
DoorDash said the $65-per-share value represents a 26% premium to Instacart’s closing share price on October 22, 2026. The announcement gives an approximate equity value, rather than a final amount for all transaction costs or obligations.
After the deal closes, DoorDash expects to retain the Instacart brand, app and enterprise technology products. Until then, both businesses will continue operating separately. DoorDash said the combination would let retailers offer online shopping and delivery through the two apps and retailers’ own websites, using each company’s technology and services.
A Wider Reach for Grocery Delivery
The proposed deal would bring together two large platforms with different strengths: DoorDash’s delivery network and Instacart’s established grocery relationships and fulfillment systems. For customers, that could mean access to additional stores and delivery choices; for grocers, the companies say, it could provide technology and logistics without requiring each retailer to build those systems independently.
DoorDash estimates Instacart customers could gain access to more than 50,000 additional stores, beyond the nearly 100,000 already on Instacart’s platform. The company also projects that DashPass and Instacart+ members could pay one membership fee instead of two, estimating $100 million in annual membership-fee savings. Those are DoorDash’s projections, not guaranteed outcomes, and depend on the transaction closing and the proposed benefits being implemented.
The merger would also reshape competition in online grocery and local delivery. DoorDash argues that shared tools could help smaller retailers compete with large online retailers and grocers. Whether the combined company delivers lower costs or better service will depend on how it integrates its platforms and how retailers and customers respond.
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Two Platforms With Different Strengths
Instacart, the business name of Maplebear Inc., has focused on online grocery ordering and retailer services. Its tools support grocery shopping, fulfillment and retailer websites, as well as advertising products. DoorDash is best known for restaurant delivery and has expanded its marketplace to include grocery and other local retail orders.
The companies describe the deal as a way to connect Instacart’s grocery-specific technology with DoorDash’s consumer reach and logistics. Their announcement also points to DashMart Fulfillment Services, which DoorDash says could provide retailers with additional capacity for online orders. The proposed structure would preserve Instacart as a brand and keep its enterprise products and app after closing.
Both companies say local businesses would remain able to work with competing delivery platforms. DoorDash has committed to an open platform with no grocery exclusivity, and says Instacart Shoppers could keep choosing which batches to accept and whether to take DoorDash orders. These commitments describe the company’s plans after closing; the two businesses remain independent before then.
“Grocery is one of the hardest things to get right online.”
— Tony Xu, DoorDash co-founder and chief executive
Closing Terms and Integration Still Pending
The supplied announcement does not specify a target closing date or describe all regulatory, shareholder or other closing conditions. Those details will matter in determining when, and in what form, the combination could take effect. The companies have announced an agreement, not a completed acquisition.
It is also unclear how the companies would integrate their apps, memberships, shopper operations and retailer services in practice. DoorDash’s estimates for added store access and membership savings are forward-looking expectations, not confirmed results. The announcement does not provide a detailed plan for pricing, service areas or how any combined features would be rolled out.
Awaiting Review and Closing Details
The next steps are for the companies to satisfy the agreement’s closing conditions and provide further information about the timetable and implementation. Until the acquisition closes, DoorDash and Instacart will operate independently, according to the announcement.
If the transaction closes, DoorDash says it expects to retain Instacart’s brand, app and enterprise technology products and to honor its stated commitments for retailers and shoppers. The companies have not yet set out a detailed integration schedule, so customers, workers and retail partners will need to wait for further updates to learn how the proposed changes would affect them.
Key Questions
How much is DoorDash paying for Instacart?
The announced value is $65 per Instacart share, representing an approximate equity value of $17 billion. The company says the price is a 26% premium to Instacart’s October 22, 2026 closing share price.
When will the acquisition close?
The announcement does not give a closing date. The deal remains subject to its closing conditions, and the companies say they will operate separately until it closes.
Will Instacart keep its name and app?
DoorDash expects to retain Instacart’s brand, app and enterprise technology products after closing. That is the stated plan in the announcement, not a description of completed changes.
What could change for Instacart and DashPass members?
DoorDash says members of both services could pay one membership fee instead of two, which the company estimates would save members $100 million per year in fees. The announcement does not detail when or how a shared membership would work.
Can grocers still use other delivery services?
DoorDash says it will keep an open platform with no grocery exclusivity after closing, allowing local grocers to work with other delivery platforms. The commitment is prospective and would apply following completion of the deal.
Source: about.doordash.com
