DoorDash (DASH) announced plans to acquire hyper-local grocery delivery provider Instacart (CART) on Thursday morning in a deal valued at $17 billion.

DoorDash, which is primarily known for its restaurant food delivery business, will pay $65 per Instacart share, a 26% premium over the stock's Oct. 22 closing price. The transaction includes 75% cash, with Instacart stockholders able to elect cash, Doo...