Uber buys ezCater for $2.3B to boost B2B food delivery
Uber announced Tuesday it has agreed to acquire Boston-based ezCater for $2.3 billion in an all-cash deal. EzCater generated more than $2.5 billion in gross bookings over the past year and averages orders above $400.
The all-cash transaction will combine ezCater’s workplace catering platform with Uber Eats and Uber for Business, giving businesses access to over 140,000 restaurants nationwide and tools to manage ordering and food spending. The deal gives Uber access to a large pool of higher‑value, scheduled deliveries from corporate meetings, employee meal programs and events, and provides another way to put commercial delivery volume through its existing network. Restaurants will gain access to larger orders and new customers, while Uber Eats couriers will have additional earning opportunities from catering deliveries. The acquisition is expected to close in the coming months, pending regulatory approvals and customary closing conditions, and Erin Mitchell will lead customer onboarding for Uber Freight’s Transportation Management business.
“Catering is a big business, and can be a huge revenue stream for restaurants,” Dara Khosrowshahi, CEO of Uber said.
“Transportation touches so much of a company’s business—from warehouse costs and service levels to its ability to grow,” Erin Mitchell, Senior Vice President of Implementation, Uber Freight said.
What we know
Uber agreed to acquire ezCater for $2.3 billion
ezCater average order value exceeds $400
ezCater generated more than $2.5 billion in gross bookings over the past year
The acquisition is expected to close in the coming months
Erin Mitchell joins Uber Freight as senior vice president of implementation