Uber acquires grocery delivery firm Cornershop

Tyrone Stewart

Cornershop is being acquired by UberUber is moving into the on-demand grocery delivery business with the acquisition of a majority stake in a startup called Cornershop, which provides grocery delivery in Latin America, and Canada. The deal, of which the terms remain undisclosed, continues Uber’s drive to diversify its business beyond ride-hailing.

Cornershop was founded in 2015 by Oskar Hjertonsson, Daniel Undurraga and Juan Pablo Cuevas. Headquartered in Santiago, Chile, it currently operates in Chile, Peru, Mexico, and Toronto, Canada. The company will continue to operate under its current leadership when the deal closes in early 2020, subject to clearing all the necessary regulatory hurdles.

“Whether it’s getting a ride, ordering food from your favourite restaurant, or soon, getting groceries delivered, we want Uber to be the operating system for your everyday life,” said 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.”  

The move places Uber within a highly competitive which already includes the likes of Amazon, Postmates, and Instacart. Then there are your Walmarts, which just extended its partnership with Cornershop in Canada, bringing the grocery delivery service to more stores in the Toronto area, and previously partnered with Uber.

“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,” said 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.”