DoorDash agreed to buy Instacart for $65.00 a share, an equity value of ~$17B, the companies announced Oct. 29.
The consideration will be at least 75% cash, with Instacart holders able to elect cash, DoorDash stock, or a mix, capped so stock stays under 25% of the total.
Instacart's board approved the deal unanimously, and holders of about 19% of shares have already agreed to vote yes.
The price is a 26% premium to Instacart's close on Oct. 22, the last trading day before reports of a possible sale surfaced.
Instacart Shareholders Get Sixty Five Dollars a Share in Mostly Cash Deal
Key terms of the DoorDash acquisition of Instacart, announced Oct. 29, 2026
| Metric | Detail |
|---|---|
| Price per Instacart share | $65.00 |
| Equity value | $17B |
| Premium to Oct. 22, 2026 close | 26% |
| Minimum cash portion | 75% |
| Shares locked up to vote yes | 19% |
| Estimated annual member savings | $100M |
Source: DoorDash press release, SEC 8-K filing
DoorDash plans to fund the cash portion with cash on hand plus debt, backed by a 364-day senior unsecured bridge loan from JPMorgan Chase Bank. The company says it's targeting a capital structure that keeps investment-grade ratings.
The target is Amazon and Walmart
Instacart partners with more than 2,200 retail banners covering nearly 100K stores, and its customers would gain access to more than 50K additional stores through DoorDash.
Combining DashPass and Instacart+ into one membership fee would save members an estimated $100M a year, per the companies.
DoorDash started in restaurant food and has since added retailers including Sephora, Macy's, and Staples, plus a partnership with Kroger announced last year.
Instacart, public since 2023, rode the pandemic grocery delivery boom and has struggled to keep that pace against Amazon and Walmart, both pushing hard into same-day and next-day delivery.
In December, Instacart agreed to pay $60M to settle Federal Trade Commission allegations of false advertising and unlawful subscription enrollment practices.
Analysts see the pairing as the strongest counterweight to those two giants. Citi Research analyst Ronald Josey projects Instacart's gross transaction value will hit $42.3B this year, up 13.6% year over year, on 370M orders at an average of $114.
Wells Fargo analyst Ken Gawrelski called Instacart an attractive strategic asset trading at a modest 9x 2027 earnings before interest, taxes, depreciation, and amortization.
Regulators get a long look
The deal isn't expected to close until the end of 2027 or the first half of 2028, pending Instacart shareholder approval and clearances in the US, Canada, and Israel.
Wedbush analysts flagged that a narrower read of the online grocery market, or one that views grocers as enterprise customers, could make approvals harder.
DoorDash is making post-close commitments meant to blunt that concern, including no grocery exclusivity and keeping Instacart's brand, app, and enterprise products running.
"Grocery is one of the hardest things to get right online."
Tony Xu, DoorDash
Instacart CEO Chris Rogers framed the tie-up as combining purpose-built grocery technology with DoorDash's logistics reach.
Until closing, the two companies keep operating separately, which means roughly a year and a half of regulatory review before anything changes for shoppers.
