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H-E-B Acquires Texas-Based Favor Delivery

H-E-B Acquires Texas-Based Favor Delivery

SAN ANTONIO, TX - Keeping pace with the rising retail trend for delivery power, H-E-B just announced that it has welcomed Austin-based Favor Delivery as a wholly-owned subsidiary. While the details of the acquisition were not disclosed, both sides communicated excitement for what the deal might bring.

Martin Otto, Chief Operating Officer, H-E-B"I am thrilled to have H-E-B join forces with another well-respected and innovative Texas company," said Martin Otto, the retailer's Chief Operating Officer, in a press release. "We share similar values, including a commitment to excellence in customer service and to our greatest resource–our people. Over the past two years, we have established a strong working relationship with Favor that has proven to be immensely successful for both companies. We see a unique opportunity with this partnership to support and accelerate each other's growth through the sharing of experience, insight and resources."

H-E-B Store

H-E-B stated that this powerful partnership would help accelerate its path to becoming a digital retail industry leader in Texas. Under H-E-B's umbrella, Favor will continue to operate independently as a separate brand. H-E-B will retain all of Favor's employees and its 50,000 Runners, who operate as contract delivery drivers, all of which will be led by Chief Executive Officer and President, Jag Bath.

Jag Bath, Chief Executive Officer and President, Favor Delivery"We could not be more excited to be part of H-E-B," said Bath. "I am incredibly proud of our team's success and the business we have built at Favor. H-E-B's extensive resources, capital, and retail food industry experience will enable us to further build on our momentum and significantly accelerate our growth throughout Texas."

With Favor, H-E-B said it gains access to best-in-class consumer-facing technology and the on-demand company's advanced delivery system. The retailer also plans to leverage Favor's data‑driven approach, capturing valuable consumer insights.

With the latest in a series of strategic investments in technology and partnerships that H-E-B has forged to “enhance its digital and delivery offerings in Texas,” the retailer looks to an even stronger presence both online and in its brick-and-mortar operations.

H-E-B Favor Delivery