ezCater

Food Delivery · Enterprise Software · Catering

Acquisition

Uber Buys Catering Platform ezCater for $2.3 Billion in Cash

The deal hands a profitable, fast-growing enterprise channel to the ride-hail giant just as it closes in on a $15 billion purchase of Delivery Hero.

• Uber will acquire ezCater, a Boston-based B2B catering marketplace, in an all-cash deal valued at $2.3 billion, expected to close in the coming months pending regulatory approval.
• ezCater lets businesses order catering from more than 140,000 restaurants nationwide for meetings, events, and recurring workplace meals.
• ezCater generated over $2.5 billion in gross bookings over the trailing twelve months, growing in the high teens percentage year-over-year, with average order values topping $400.
• The business is already profitable on a non-GAAP operating income basis and is expected to be margin-accretive to Uber once the deal closes.
• ezCater's catering business collapsed 85% during the pandemic as offices emptied, forcing 420 layoffs before the company rebuilt around factories and hospitals that stayed staffed in person.
• ezCater had been valued at more than $1.6 billion in earlier funding rounds and once had plans to pursue its own IPO before opting for this acquisition exit.
• The purchase follows Uber's pending $15 billion deal for Delivery Hero and its investments in drone delivery firms Zipline and Flytrex, part of a broader push beyond consumer takeout.
• Catering orders run far larger than typical takeout, giving Uber a high-margin wedge into corporate food spend without building enterprise sales relationships from scratch.