HEB to acquire Austin-based delivery app Favor

Austin-based delivery app Favor is being acquired by San Antonio-based HEB Grocery Co., the largest private employer in Houston.

The Austin-based startup, which operates legally as NeighborFavor Inc., has carved out a lucrative niche in the hyper-competitive realm of on-demand delivery. But with mergers and consolidations roiling the sector, Favor is taking shelter as a subsidiary of one of the most recognizable companies in the state.

San Antonio-based HEB announced the acquisition Feb. 15, saying…