Deliveroo shares surge following DoorDash's $3.6 billion proposed takeover

"Deliveroo's shares soared as it received a $3.6 billion takeover offer from DoorDash, prompting a suspension of its planned share buyback."

"The board of Deliveroo indicated to DoorDash that it would support a firm offer, engaging in discussions and due diligence on the proposed bid."

Shares of Deliveroo have surged to three-year highs following a $3.6 billion takeover proposal from DoorDash. The announcement came after European markets closed, leading to Deliveroo suspending its scheduled $133.5 million share buyback. The company’s board has signaled a willingness to recommend the bid to shareholders if a firm offer is presented. Moreover, discussions between both firms are set to involve due diligence until DoorDash's deadline to submit a buyout offer, which is May 23. This bid follows other significant acquisition activities in the food delivery sector, particularly by Prosus.

Read at Fast Company