is reportedly interested in acquiring rival Postmates for $2.4 billion. The company’s former Chief Business Officer Emil Michael was a guest on Fox Business to talk about the deal and the general state of the food delivery business.
Michael On Uber Acquiring Postmates: Postmates is ranked fourth in the food delivery market, and an acquisition would make sense — but only at the right price, Michael said.
At a price of $2.4 billion, it is unclear how Uber benefits, as a combined entity would improve its market position in just one major city, he said: Los Angeles.
There are likely better ways for Uber to spend $2.4 billion, as this price tag “feels a little expensive.”