Delivery Hero stock jumps on report of Uber takeover talks

Investing.com -- Delivery Hero SE (ETR:DHER) shares surged 5.5% following a Bloomberg report that Uber Technologies Inc. (NYSE: UBER) is in advanced talks to acquire the German food-delivery company. Uber stock fell 2% on the news.

Uber aims to reach an agreement with Delivery Hero as soon as this week, according to people familiar with the matter. A transaction would likely value the German company well above its recent trading price of around €36 per share, the people said.

Uber has already built a shareholding in Delivery Hero of 24.99%, plus derivatives that take its total interest to about 36.8%. The ride-hailing company previously approached Delivery Hero with an offer of €33 per share, but investors have been betting that a higher price will be required to seal the deal.

Shares of Delivery Hero have gained about 62% this year, giving the company a market value of €11.2 billion ($12.8 billion). Amsterdam-listed internet investment firm Prosus NV also holds a significant stake in Delivery Hero.

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