DoorDash and Instacart announced a definitive agreement on Thursday under which DoorDash will acquire Instacart for a total value of $65.00 per share, an equity value of approximately $17 billion.

The aggregate consideration will be at least 75% cash, with Instacart stockholders able to elect cash, DoorDash stock, or a mix, subject to a 25% cap on stock consideration. Instacart's board unanimously approved the deal.

DoorDash expects to keep Instacart's brand, enterprise technology products, and app once the transaction closes.

The merger is a striking reversal: DoorDash eyed an Instacart deal in 2021 at a valuation above $40 billion, but that effort was shelved over regulatory concerns.

The New York Post reports that DoorDash did not want to miss a window to close under the current administration, which it views as friendlier to mega-mergers, and that Instacart turned to DoorDash in September after talks with Uber fell apart.

Uber, having bought Delivery Hero for $15 billion this summer, was reluctant to pursue another acquisition.

The $65 price represents a 26% premium to Instacart's October 22 close, the last trading day before sale reports surfaced, and about 11% over Wednesday's close, according to CNBC. DoorDash shares jumped more than 6% in morning trading while Instacart traded near flat.

Alongside the deal, DoorDash reported third-quarter adjusted EPS of $1.06, beating the 84-cent estimate, revenue of $4.62 billion, and 993 million orders, up 28% year over year, per CNBC. Instacart handled 90.3 million orders worth about $10.4 billion in the quarter, the New York Post reports.

The combination positions the companies against Walmart and Amazon, which have pushed into same- and next-day grocery delivery. Walmart accounted for nearly 32% of US online grocery sales in 2025 and Amazon about 23%, per the New York Post, citing eMarketer.

boston.com reports Instacart's share of US delivery-platform spending has fallen from 26% to 18% over five years while DoorDash's grew from 44% to 59%.

CNBC notes the deal could face antitrust scrutiny given the companies' market overlap, with Wedbush analysts warning narrower market definitions could complicate approval.

Instacart customers would gain access to more than 50,000 additional stores beyond the nearly 100,000 stores on the Instacart platform today, and DashPass and Instacart+ memberships would merge into a single fee, saving members an estimated $100 million per year, according to DoorDash's announcement.

boston.com reports Instacart's 600,000 independent-contractor shoppers could keep fulfilling orders as before and choose whether to take DoorDash orders. Grocers would retain the ability to work with any delivery platform, with no grocery exclusivity.

The transaction is expected to close at the end of 2027 or the first half of 2028, pending Instacart shareholder approval, HSR antitrust review, and other regulatory approvals including in Canada and Israel.

Stockholders holding about 19% of Instacart's outstanding shares have agreed to vote in favor, per DoorDash's announcement. The companies will keep operating independently until closing.