Ride-sharing service Uber Technologies Inc has decided on a $2.65 billion all-stock offer to buy food-delivery app Postmates Inc.
The deal was approved by the board of Uber and could be confirmed as soon as Bloomberg had previously stated Monday, adding that it is expected that Pierre-Dimitri Gore-Coty, head of Uber's food supply company, Uber Eats, will continue to run the combined delivery business.
Reuters announced last week that Postmates had revived plans for an initial public offering after dealmaking in the U.S. online food delivery service market, which fuelled interest in the company 's acquisitions.
Postmates is last estimated at $2.4 billion in a private fundraising round last September, when it raised $225 million.
According to research company Second Measure, Postmates, founded in 2011, accounted for 8 per cent of the U.S. meal delivery market in May.
Uber had intended to acquire Grubhub Inc via its Uber Eats company, but backed away from the deal as Just Eat Takeaway.com NV ultimately reached a $7.3 billion agreement last month to buy the U.S. online food supplier.