Postmates CEO Bastian Lehmann. Photo credit: Picture Alliance for DLD, under Creative Commons license

Uber is in talks to acquire food-delivery competitor Postmates in a $2.6 billion deal, according to a report from the Wall Street Journal, which notes that a deal could be announced by next week or even sooner. Postmates has been said to be targeting an initial public offering but while also shopping itself around to potential buyers. Uber is notably fresh off an attempt to acquire Grubhub, another food delivery competitor which was, however, sold to British food delivery company Just Eat Takeaway.com.

Postmates has raised about $900 million in funding so far, valued at $2.4 billion as of its last funding round. The company had confidentially filed for a public listing in February of last year but didn’t follow up with a public filing. In the past, Postmates is said to have shopped itself to companies including Walmart and food-delivery competitor DoorDash. Postmates is known to be unprofitable, so the public markets may not favor the company as much as a private sale and it seems Postmates is actively pursuing a more favorable way.

If Uber’s Postmates deal becomes official, it’ll mark the company’s second-biggest acquisition ever, the first being Middle Eastern ride-hailing upstart Careem, which it coughed up $3.1 billion for.

[07/06/20] Update: Uber has confirmed it’s acquiring Postmates in a $2.65 billion all-stock deal.