Just Eat Takeaway sells Grubhub to Wonder for $650 million
Nov 14, 2024
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Just Eat Takeaway is offloading Grubhub to Wonder for a whopping $650 million, marking a major shift in their food delivery strategy. The move aims to boost cash flow and accelerate growth for Just Eat. The podcast dives into the hefty losses incurred from the initial Grubhub investment and discusses the ongoing challenges facing the food delivery industry. Exciting insights on the future plans for both companies make this a must-listen!
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Quick takeaways
Just Eat Takeaway's sale of Grubhub for $650 million reflects significant shifts and challenges in the food delivery industry post-pandemic.
The divestiture illustrates a stark decline in Grubhub's market viability compared to its initial $7.3 billion investment four years ago.
Deep dives
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Shifts in the Food Delivery Market
The decision by JustEatTakeaway.com to sell Grubhub for $650 million highlights significant challenges in the food delivery industry, exacerbated by the changing post-pandemic landscape. The initial investment of $7.3 billion in Grubhub only four years ago starkly contrasts with its current divestiture, revealing a drastic decline in market viability. Companies like Flink and Getter, which once thrived, have also faced valuation drops or operational retreats, emphasizing the unsustainability of the instant delivery model. The acquisition by Wonder Group aims to integrate Grubhub into its services, striving to create a comprehensive food delivery app while navigating the industry's evolving dynamics.
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Just Eat Takeaway Sells Grubhub: A Shift in Food Delivery Strategy
Netherlands-based Just Eat Takeaway announced today that it is selling Grubhub to Wonder in a deal valued at $650 million. The company said that it expects the deal to be completed by Q1 2025. “The sale of Grubhub to Wonder will increase the cash generation capabilities of Just Eat Takeaway.com and will accelerate our growth.