San Francisco-based Uber Technologies is getting into the grocery delivery business. The company announced that it has acquired Mexican start-up Cornershop for an undisclosed amount.
Cornershop, which started in 2015, has become a leading online grocery provider in Chile, Mexico, and more recently, in Peru and Toronto. The company is expected to expand into the United States.
"Whether it’s getting a ride, ordering food from your favorite restaurant, or soon, getting groceries delivered, we want Uber to be the operating system for your everyday life,” says Dara Khosrowshahi, CEO of Uber. “We’re excited to partner with the team at Cornershop to scale their vision, and look forward to working with them to bring grocery delivery to millions of consumers on the Uber platform.”
After closing of the investment, Cornershop will continue to operate under its current leadership, reporting to a board of majority Uber representation.
“In 2015 we started Cornershop with primarily the Latin American market in mind and we couldn't be more excited to work with Uber to help us take that mission much further,” says Oskar Hjertonsson, founder and CEO of Cornershop. “Uber is the perfect partner as we embark on our quest to bring our unique flavor of on-demand groceries from incredible retail partners to many more countries around the world."
According to a New York Times report, Walmart tried to acquire Cornershop for $225 million in 2018 before Mexican antitrust officials nixed the deal.