Just Eat swallows Grubhub creating restaurant delivery giant

Just Eat Takeaway.com is acquiring Grubhub in a $7.3 billion deal that will create one of the world's largest restaurant delivery companies.

Amsterdam-based Just Eat Takeaway.com and Chicago-based Grubhub announced the merger late Wednesday. Earlier in the day Just Eat Takeaway.com confirmed the two companies were in talks.

The two processed 593 million restaurant orders in 2019 and have about 70 million users worldwide.

Just Eat Takeaway.com said it will acquire 100% of Grubhub's shares at an implied value of $75.15 per share. Grubhub shareholders will receive depository receipts representing a portion of shares in the new company.

Grubhub shares closed at $59.05 Wednesday.

The deal snatches Grubhub away from ride-hailing giant Uber, which was also in talks to merge with Grubhub, according to published reports. That deal would have given the companies control over a majority of the U.S. food delivery business.

Matt Maloney, Grubhub's founder and CEO, will join Just Eat Takeaway.com's board and will lead the company's North American business, the companies said in a statement.

Just Eat Takeaway.com provides restaurant delivery services in Europe, New Zealand, Canada, Mexico and Brazil. Grubhub operates in 4,000 U.S. cities.