Last-mile food delivery service DoorDash is set to acquire food delivery service Caviar — the food-ordering platform from mobile payments company Square Inc. — in a deal estimated to be worth $410 million in cash and DoorDash preferred stock. The acquisition is set to be finalized later in 2019.
“We have long-admired Caviar, which has a coveted brand, an exceptional portfolio of premium restaurants and leading technology,” Tony Xu, CEO of DoorDash said in a statement. “The acquisition further enhances the breadth of our merchant selection, enabling us to offer customers even more choice when they order through DoorDash.”
Caviar’s premium restaurant delivery portfolio – available in major metropolitan areas such as New York, Boston, Chicago, Los Angeles, Philadelphia, San Francisco, Seattle, Portland, and Washington D.C. — will be added to the expansive delivery reach of DoorDash’s platform.
"Caviar has built a trusted brand with customers and many of the best restaurants,” Gokul Rajaram, Caviar Lead said. “DoorDash has national scale, complementary restaurant selection, a tremendous logistics platform, and a team that shares our passion and commitment to better serve restaurants, couriers, and customers.”
Before the transaction was announced, DoorDash was already integrated with Square’s point of sale technology for both online and in-person food orders.