GrubHub is being acquired by Europe-based Just Eat Takeway in a deal worth some $7.3 billion after talks between GrubHub and Uber collapsed.
“Uber had been in talks to buy Grubhub, but those discussions foundered over price and regulatory concerns, said people with knowledge of the discussions,” The New York Times reported.
The deal, announced Wednesday, is all stock at $75.15 per share and represents a 27% premium over GrubHub’s share price.
“The massive tie-up comes as social distancing restrictions across the world begin to ease, a shift that will test whether an increase in the use of food-delivery apps during the pandemic will persist,” reports PitchBook.
“It also comes less than two months after Just Eat and Takeaway.com won UK regulatory approval for a merger of the two companies reportedly worth £6.2 billion (about $7.9 billion at today’s conversion rate).”
Reports had surfaced last month that Uber was in pursuit of Grubhub, leading to antitrust concerns because of the two companies’ relative dominance of the US market.
“GrubHub’s founder and chief executive, Matt Maloney, will join Just Eat Takeaway’s board and oversee its business in North America, reported The New York Times.
Uber had been in talks to buy Grubhub, but those discussions foundered over price and regulatory concerns, said people with knowledge of the discussions.
