Food Delivery Sees Major Shakeup as Grubhub Sells
The online food delivery space has seen much evolution in the first half of 2020 during the COVID-19 pandemic, but no change is likely bigger than two key players merging. Chicago-based GrubHub is combining with Amsterdam-based Just Eat Takeaway.com to form a transatlantic powerhouse.
Just Eat Takeaway.com is acquiring 100% of the shares of Grubhub in an all-stock transaction, and Grubhub CEO Matt Maloney is joining the Just Eat Takeaway.com management board and leading the business across North America, with its headquarters remaining in Chicago.
"I’ve known Jitse [Groen, CEO and founder of Just Eat Takeaway.com] since 2007, and his story is much like mine. Combining the companies that started it all will mean that two trailblazing startups have become a clear global leader. We share a focus on a hybrid model that places extra value on volume at independent restaurants, driving profitable growth," Maloney said. "Supported by Just Eat Takeaway.com, we intend to accelerate our mission to be the fastest, best and most rewarding way to order food from your favorite local restaurants in North America and around the world. We could not be more excited."
Just Eat Takeaway.com is a new company in its own right, after The United Kingdom's Just Eat merged with Takeaway.com earlier this year. The company also owns SkipTheDishes, an online food delivery company in Canada.
With the Grubhub acquisition, both parties said that the combined online food delivery company will be the largest measured by gross merchandise value and revenue outside of China.
Just Eat Takwaway.com wasn't the only company with an eye on Grubhub. According to The Wall Street Journal, Uber had approached the company earlier this year, but as the coronavirus depleted demand for its ride-sharing service, talks fell apart.
Grubhub currently features nearly 300,000 restaurants in more than 4,000 cities and includes Seamless, LevelUp, AllMenus and MenuPages brands.