Just Eat Takeaway Completes Grubhub Sale to Wonder for $650M

Just Eat Takeaway.com has officially completed the sale of Grubhub to Wonder, a food startup led by e-commerce veteran Marc Lore. After a two-year search for a buyer, the Dutch food delivery giant finalized the deal, valued at $650 million, on Tuesday. However, the deal comes with $500 million in debt attached to Grubhub, which significantly reduces the overall value of the transaction.

The Deal: A Modest Sale with Heavy Debt

Despite a high valuation of $7.3 billion when Just Eat Takeaway acquired Grubhub in an all-share deal back in 2020, the sale to Wonder comes at a much lower price. After factoring in the debt and other merger and acquisition fees, Just Eat Takeaway will only walk away with a modest $50 million from the sale.

The deal, first announced in November 2024, reflects the ongoing trend in the industry towards downsizing and focusing on profitability, especially after years of overinvestment and the pursuit of aggressive growth targets.

Wonder’s Ambitions and the Future of Grubhub

The Wonder brand, founded and led by Marc Lore, has raised approximately $1.7 billion and is now poised to use the acquisition of Grubhub to expand its national footprint. However, the company faces the challenge of managing the significant debt Grubhub carries and turning around its fortunes. Marc Lore, a legend in the world of e-commerce for his previous ventures, has ambitious plans for Wonder. Lore has expressed intentions to take the company public in the coming years, aiming for a $40 billion valuation, though this will require significant growth beyond its current scale.

For Just Eat Takeaway, the sale marks a shift in focus. The company plans to prioritize investment in countries where it holds a competitive advantage, indicating a strategic retreat from the U.S. market after the sale of Grubhub.

What This Means for the Food Delivery Industry

This sale highlights the shifting landscape of the food delivery industry, where companies are recalibrating their strategies to focus on profitability over growth at all costs. Just Eat Takeaway’s decision to sell Grubhub is part of a broader trend in the sector, where consolidation and restructuring are becoming key strategies.

The move also signals a change in priorities for both Just Eat Takeaway and Wonder, as they shift focus toward more sustainable growth models.

Conclusion: A New Chapter for Grubhub and Wonder

The sale of Grubhub to Wonder is a significant moment for the food delivery industry, with Wonder looking to leverage its acquisition to scale up its operations while managing the debt. For Just Eat Takeaway, the sale allows the company to shift its focus toward markets where it can maintain a competitive edge, while Wonder sets its sights on building a stronger presence in the U.S. market.

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