Uber completes $1.1 billion purchase of Drizly
Uber Technologies has completed an acquisition that will bolster its presence in the on-demand consumer delivery market.
Based in Boston, Drizly is available and designed to be fully compliant with local regulations in more than 1,400 cities across a majority of U.S. states. Drizly works with thousands of local retailers to provide consumers with an on-demand selection of beer, wine, and spirits with transparent pricing.
Originally announced in February 2021, the transaction includes a purchase consideration of approximately $1.1 billion, consisting of approximately 18.7 million newly issued shares of Uber common stock, plus cash. Drizly is now a wholly-owned subsidiary of Uber.
Over the coming months, Drizly’s marketplace will be featured within the Uber Eats app, while also maintaining a separate Drizly app and web experience. At the time the merger was initially announced, Drizly said it plans to innovate and expand independently in the on-demand liquor delivery sector, while also gaining access to the advanced mobile marketplace technologies of Uber.
Retailers on Drizly will have access to Uber’s routing technology and consumer base, and drivers will have more orders to deliver. In addition, Uber can integrate its rewards and subscription programs with benefits and perks on Drizly. The Drizly marketplace will eventually be integrated with the Uber Eats on-demand food and beverage delivery app, while also maintaining a separate Drizly app.
Drizly is available and designed to be fully compliant with local regulations in more than 1,600 cities across 33 U.S. states. The company works with thousands of local retailers to provide consumers with a selection of beer, wine, and spirits for online home delivery.
“Uber Eats and Drizly are truly the perfect pairing,” said Uber CEO Dara Khosrowshahi. “As we invest in expanded offerings in our delivery business—from grocery and convenience stores to a wide variety of retailers—alcohol remains a key driver of demand from consumers in the US. On the Uber Eats app searches for alcohol items have spiked by 200% in the last year alone. By joining forces with Cory’s talented team, we can accelerate our shared trajectory by introducing Drizly to Uber consumers and expanding its geographic presence in the years ahead.”
"I'm incredibly proud of the team at Drizly for all the work that's gotten us here today. We've spent the last few years building the infrastructure to bring this category online," said Cory Rellas, CEO of Drizly. "Today is the start of another chapter and we couldn't be more excited about becoming a part of the Uber family. With their platform, technology, scale, and expertise, we will accelerate our mission of becoming the go-to place for alcohol – anytime, anywhere, for any occasion. We look forward to the journey ahead in continuing to create the consumer experience we all deserve in beverage alcohol. We hope you'll join us in celebrating."
Uber and Drizly are offering $5 off purchases made on Drizly through Sunday, Oct. 17, 2021, with the promo code PAIR at checkout.