M&A
confidence high
sentiment neutral
materiality 0.97
DoorDash agrees to acquire Instacart in cash-and-stock merger with $13B bridge financing
DoorDash, Inc.
- DoorDash will merge Instacart into wholly owned subsidiary Ibiza Merger Sub; Instacart holders can elect $65.00 cash, 0.3372 DASH shares, or $48.75 plus 0.0843 shares per share.
- Stock consideration is capped at 25% of aggregate merger consideration; shares with no valid election receive $65.00 cash, subject to proration.
- Instacart stockholders holding about 19% of voting power signed voting agreements to support the merger; Instacart would pay DoorDash a $650 million termination fee under specified circumstances.
- DoorDash would pay Instacart a $1.25 billion termination fee if antitrust conditions block closing; JPMorgan committed a 364-day $13.0 billion bridge facility.
- Closing requires Instacart stockholder approval and antitrust clearance under HSR, Canada and Israel laws; outside date is 12 months, with up to four 3-month extensions.