Uber to Buy EzCater for $2.3 Billion in Enterprise Delivery Push

Uber Technologies Inc. is buying catering firm ezCater Inc. for $2.3 billion in a cash deal that will help the Uber Eats delivery platform reach a more corporate clientele.

Boston-based ezCater offers a platform where businesses can arrange for food services at events, meetings and other gatherings. The transaction is expected to close in the coming months, Uber said in a statement Tuesday.

The purchase will boost Uber’s food delivery business, which makes up about nearly half of the company’s overall gross bookings and has been growing at a faster clip than its flagship ride-hailing unit. The deal will also help better position Uber against rival DoorDash Inc., the leading food-delivery platform in the US, which launched workplace catering in April.

Uber shares rose less than 1% before markets opened in New York.

Privately held ezCater generated over $2.5 billion in gross bookings over the trailing 12 months and works with more than 140,000 restaurants nationwide, Uber said in the statement. On average, ezCater’s customers spend more than $400 per order.