Texas-based supermarket retailer H-E-B announced last week that it had purchased Favor Delivery, an on-demand delivery service headquartered in Austin, Texas. The terms of the transaction were not disclosed.

H-E-B says it hopes the move accelerates its path to become a digital retail industry leader in Texas, enabling its customers to choose how they shop, pay and receive products.

Favor will continue to operate independently as a separate brand, led by CEO and president, Jag Bath. H-E-B will retail all of Favor's employees and its 50,000 runners, who operate as contract delivery drivers.

"I am thrilled to have H?E?B join forces with another well?respected and innovative Texas company," says Martin Otto, H?E?B's CEO. "We share similar values, including a commitment to excellence in customer service and to our greatest resource – our people. Over the past two years, we have established a strong working relationship with Favor that has proven to be immensely successful for both companies. We see a unique opportunity with this partnership to support and accelerate each other's growth through the sharing of experience, insight and resources."

Favor was founded in 2013 and has expanded its presence to 50 cities across Texas, where it is currently the highest-rated delivery service, according to a press release. 

"We could not be more excited to be part of H-E-B," says Bath. "I am incredibly proud of our team's success and the business we have built at Favor. H-E-B's extensive resources, capital and retail food industry experience will enable us to further build on our momentum and significantly accelerate our growth throughout Texas."