Uber to acquire ezCater for $2.3bn to expand into workplace catering

Uber has agreed to acquire ezCater, a US-based workplace catering platform, for $2.3 billion in cash. The deal is expected to integrate ezCater’s services into Uber Eats and Uber for Business, targeting the growing workplace meals market.

Uber to acquire ezCater for $2.3bn

Uber has agreed to acquire ezCater, a US-based workplace catering platform, for $2.3 billion in cash. The deal was announced in a joint statement by both companies, according to The Next Web.

The acquisition aims to integrate ezCater’s catering services into Uber Eats and Uber for Business, expanding Uber’s presence in the workplace catering market. ezCater allows businesses to order food for meetings, events, and recurring staff meals from more than 140,000 US restaurants.

The transaction is expected to close in the coming months, subject to regulatory approvals and other closing conditions. Evercore is advising ezCater on the deal.

Why this acquisition matters

ezCater generated over $2.5 billion in gross bookings in the past 12 months, with growth in the high teens year on year, according to TechCrunch. The platform’s average order value exceeds $400, and it is profitable on a non-GAAP operating income basis.

For Uber, this acquisition represents an opportunity to tap into the lucrative workplace catering market, which is seeing rapid growth. DoorDash, Uber’s primary competitor, launched its workplace catering service in April and reported that large team orders are growing 30% faster than regular orders.

The deal is also expected to benefit restaurants and couriers. Restaurants would gain access to larger orders and new customers, while Uber Eats couriers could see additional earning opportunities through catering deliveries.

Uber’s broader strategy

This acquisition is part of Uber’s broader effort to expand its food delivery business, which already accounts for nearly half of its gross bookings. The company has been investing in new technologies, including partnerships with drone delivery firms Zipline and Flytrex, as reported by TechCrunch.

However, Uber has also faced challenges in recent months. In September, the company cut 10% of its workforce and exited operations in Nigeria and Uganda. Additionally, Uber is pursuing a separate $15 billion acquisition of Delivery Hero, which could further reshape its global delivery ambitions.

Background on ezCater

Founded in 2007, ezCater was bootstrapped for seven years before raising its first funding round of $4 million in 2014, according to TechCrunch. The company has since grown into a leading platform for workplace meals and catering, serving businesses across the US.

What this means

Lazyfounder analysis — our interpretation, not reported fact.

Uber’s acquisition of ezCater signals a strategic push into the workplace catering market, a segment that has shown strong growth and high order values. For Uber, this deal is less about reinventing its core business and more about leveraging its existing infrastructure—Uber Eats and Uber for Business—to capture a larger share of the B2B food delivery space.

The move also underscores the intensifying competition with DoorDash, which has already made inroads into workplace catering. With ezCater’s platform, Uber can offer businesses a streamlined way to order food for meetings, events, and daily staff meals, a use case that aligns well with its existing delivery network.

However, the acquisition comes at a time when Uber is making significant bets elsewhere, including a potential $15 billion deal for Delivery Hero. For founders and operators, this deal is a reminder that scaling into adjacencies—especially those with high-margin or recurring revenue potential—can be a viable growth strategy, but it also requires balancing multiple high-stakes moves.

Key takeaways

• Uber’s acquisition of ezCater is valued at $2.3 billion in cash, expanding its reach into workplace catering.
• ezCater’s platform enables businesses to order food for meetings, events, and recurring staff meals from over 140,000 US restaurants.
• The deal is expected to close in the coming months, pending regulatory approvals.
• Uber aims to compete with DoorDash, which has already entered the workplace catering market.
• ezCater’s average order value exceeds $400, and the company is profitable on a non-GAAP operating income basis.

FAQ

Why is Uber acquiring ezCater?

Uber is acquiring ezCater to expand its presence in the workplace catering market. The deal aims to integrate ezCater’s services into Uber Eats and Uber for Business, allowing Uber to offer businesses a streamlined way to order food for meetings, events, and recurring staff meals.

How much is Uber paying for ezCater?

Uber is acquiring ezCater for $2.3 billion in cash.

What does ezCater do?

ezCater is a US-based platform that allows businesses to order food for meetings, events, and recurring staff meals from over 140,000 restaurants.

How will this acquisition impact Uber’s competitors?

This acquisition positions Uber to compete more directly with DoorDash, which launched its own workplace catering service in April. The deal could help Uber capture a larger share of the growing B2B food delivery market.

When is the deal expected to close?

The acquisition is expected to close in the coming months, pending regulatory approvals and other closing conditions.

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