(Bloomberg) — Uber Technologies Inc. proposed buying Delivery Hero SE for €33 ($38) a share as it seeks to better compete with DoorDash Inc. outside the US.

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A statement from Berlin-based Delivery Hero on Saturday confirmed a Bloomberg report about Uber’s takeover interest, as well as details in the Financial Times on the indicative offer, which is 1.8% below Delivery Hero’s closing price on Friday.

The German company “remains fully focused on executing its strategic review process,” it said in a statement, adding that it will provide further updates “as required or appropriate.”

The FT also reported that Uber and DoorDash Inc. have each held talks with Delivery Hero investors about acquiring their stakes, moves that could set the stage for a potential takeover battle for the food-delivery company.

Delivery Hero rebuffed the €33 a share ballpark figure, the FT said, adding that several investors signaled they would seek a price above €40 a share.

San Francisco-based Uber is exploring options for a full takeover and is working with advisers to study ways to increase its holding further, people familiar said. Uber has also been speaking to other investors in Delivery Hero about its interest in a deal, they said.

Interest in Delivery Hero has intensified after Uber’s disclosure this week that it owns close to 20% of the company after purchasing additional shares and instruments, adding to a rally that has seen the shares climb almost 50% this year. Uber also revealed an additional 5.6% exposure through options in Delivery Hero. Morgan Stanley has helped the ride-hailing company to rapidly build its stake using derivatives, people familiar told Bloomberg.

Uber said earlier in the week that it “currently” had no intention to lift its stake to 30% or more, a threshold that would trigger a mandatory public tender offer under German takeover law, though it noted that it regularly reviews investment opportunities and could increase its holdings if conditions warrant.

The company may also require antitrust approval before crossing certain ownership thresholds, one of the people told Bloomberg. Deliberations are ongoing and there’s no certainty they will lead to a deal, the people said.

Delivery Hero has come under pressure from investors to improve its financial performance and operations this year. CEO Niklas Östberg has decided to step down after pressure from activist investor Aspex, which had urged him to pursue asset sales or leave.