Uber buys Latin America grocery delivery startup Cornershop

Ride-hailing giant Uber is buying a majority ownership stake in Latin America grocery delivery startup Cornershop. The startup currently operates in Chile, Mexico, Peru and Toronto. The financial term of the deal was not disclosed. The deal, expected to close in 2020, could help strengthen Uber’s revenue in Latin America, which fell 24% year-on-year in the second quarter of 2019, while revenue from its other regional segments increased.

Founded in San Francisco in 2015 by Daniel Undurraga, Juan Pablo Cuevas, and Oskar Hjertonsson, Cornershop is an on-demand grocery delivery service for the Latin American market. Headquartered in Santiago, Chile, Cornershop is backed by Accel, ALLVP, Creandum, and JSV. The Cornershop team sold its previous startup to Groupon and built a dominant coupon giant in the region. Cornershop is backed a powerful base of angel investors such as Wences Casares, Ariel Poler and Oscar Salazar to launch the company in Mexico City and Santiago de in July 2015. The platform allows shoppers to find and buy groceries online from different supermarkets and specialty stores and have them delivered straight to their homes.

“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,” said Dara Khosrowshahi, CEO, 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.”

“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 Oskar Hjertonsson, Founder and CEO, 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.”

After closing of the investment, Cornershop will continue to operate under its current leadership, reporting to a board with majority Uber representation.

Cornershop Founders