AMSTERDAM/NEW YORK (Reuters) - European food ordering firm Just Eat Takeaway.com NV (TKWY.AS) said on Wednesday it was in advanced talks to buy Grubhub Inc (GRUB.N) in an all-stock deal that, if completed, would create the world’s largest food delivery company by revenue.
FILE PHOTO: Signage for Just Eat is seen on the window of a restaurant in London, Britain, August 5, 2019. REUTERS/Toby Melville.
Grubhub, which has a market cap of about $4.3 billion, was also approached by Uber Eats, a unit of ride-hailing firm Uber Technologies Inc (UBER.N), in May for an all-stock deal.
Uber, however, is now close to exiting the deal, CNBC reported on Wednesday.
Uber did not immediately respond to a request for comment.
A potential Uber-Grubhub merger had raised antitrust concerns, especially in major markets including New York City, where Grubhub already controls a large share of restaurant deliveries.
Chris Sagers, who teaches at the Cleveland-Marshall College of Law, had predicted that Uber’s acquisition of Grubhub would be stopped by U.S. antitrust enforcers.
But a deal between Grubhub and Just Eat Takeaway could win easy approval. “A deal with zero U.S. market share, they won’t even get a second” request indicating an extended review, he said.
A Just Eat Takeaway merger with Grubhub would create a company with combined total revenues of more than 2.1 billion euros.
That would eclipse the largest global food delivery company, China’s Meituan, which had 1.4 billion euro business, according to a Just Eat presentation before it acquired Takeaway in 2019.
Experts say consolidation is long overdue in the U.S. food-delivery space, where demand is surging, especially as many people stay-at-home to combat the spread of the novel coronavirus.
Additional reporting by Akanksha Rana in Bengaluru, Diane Bartz in Washington and Paul Sandle in London; Writing by Hilary Russ; Editing by Ramakrishnan M. and Alistair Bell
"eat" - Google News
June 11, 2020 at 12:04AM
https://ift.tt/2MOsAmK
Just Eat Takeaway in advanced talks to buy Grubhub - Reuters
"eat" - Google News
https://ift.tt/33WjFpI
https://ift.tt/2VWmZ3q
Bagikan Berita Ini
0 Response to "Just Eat Takeaway in advanced talks to buy Grubhub - Reuters"
Post a Comment