Uber CEO Dara Khosrowshahi speaks at a product launch event in San Francisco, California on September 26, 2019.
Philip Pacheco | AFP via Getty Images
Uber is acquiring the remaining 47% stake in grocery delivery startup Cornershop in a stock transaction, the company said Monday. The acquisition shows how Uber is investing more outside of its core transportation business, which has so far not proven profitable.
Uber shares fell more than 2.5% on Monday.
The deal comes nearly two years after Uber bought a majority stake in Cornershop for an undisclosed sum. Cornershop currently operates in the United States, Peru, Brazil, Colombia and Canada.
“Uber already owns ~ 50% of Cornershop and we’ve seen how working together can deliver great results, like our 2020 joint launch in Brazil, where we quickly became a leading player. But to really unlock the full potential of this partnership, we have to operate as one company, “said Oskar Hjertonsson, founder and CEO of Cornershop, in a tweet.
The deal is expected to close in July.
Uber has focused its acquisition efforts on its Eats segment during the coronavirus pandemic. Uber acquired Postmates last July after it failed to purchase the GrubHub food delivery service. It also acquired the Drizly alcohol delivery service in February.
Uber has downloaded some of its most expensive ride segments. Last year, the company transferred its electric bike and scooter business, Jump, to Lime. Uber also sold its autonomous unit, Advanced Technologies Group, to competitor Aurora Innovation. It also got rid of its flying taxi business, Uber Elevate.
Subscribe to CNBC on YouTube.