Investing.com -- Uber Technologies Inc said Tuesday it will acquire ezCater Inc, a U.S. platform for catering and workplace meals, in an all-cash transaction valued at $2.3 billion.

The deal will combine ezCater's catering operations with Uber Eats' consumer and restaurant network and Uber for Business's corporate relationships, the company said.

Founded in 2007, ezCater operates a platform that connects businesses with over 140,000 restaurants nationwide for catering orders. The company generated over $2.5 billion in gross bookings over the trailing twelve months, growing in the high teens year-over-year on a percentage basis. The business is profitable on a non-GAAP operating income basis.

The platform's average order values exceed $400. ezCater provides tools for businesses to manage food ordering and spending, with 24/7 customer support.

"Catering is a big business, and can be a huge revenue stream for restaurants," said Dara Khosrowshahi, CEO of Uber. "With Uber's reach, we can bring that experience to millions more customers and help restaurants win more of these valuable orders."

Nihad Rahman, CEO of ezCater, said the company is "thrilled to be joining forces with Uber" and will bring its catering expertise to Uber's ecosystem of customers, merchants, and couriers.

The transaction is expected to close in the coming months, subject to regulatory approvals and other customary closing conditions. The acquisition is expected to be margin accretive for Uber.

Uber shares were trading about 0.9% higher in pre-market Tuesday following the announcement.

J.P. Morgan Securities LLC is serving as financial advisor to Uber, while Evercore is advising ezCater.

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