Just Eat Takeaway.com NV on Wednesday revealed it has struck a deal to sell Grubhub Inc for $650 million.
The Amsterdam, Netherlands-based food delivery application said it has reached an agreement with food delivery startup, New York-based Wonder Group Inc valued at $650 million which will see the firm part ways with the US food delivery platform.
According to the deal, Grubhub is to be transferred with its $500 million of senior notes, with net proceeds post customary adjustments of up to $50 million expected.
Just Eat added that it will retain no material liabilities associated with Grubhub once the transaction is completed.
The firm said the deal will increase Just Eat’s ability to support investments in countries in which it has the greatest competitive advantage.
The sale is expected to complete during the first-quarter of 2025.
Just Eat Takeaway bought Chicago, US-based Grubhub back in June 2021 for $7.3 billion, but not long after in June 2022 announced that it was exploring a full or partial sale of the platform as it faced pressure from investors regarding profitability coupled with a weakened share price.
Shares in Just Eat closed down 1% at 941.00 pence on Tuesday morning in London.
Just Eat Founder & Chief Executive Jitse Groen said: ‘The sale of Grubhub to Wonder will increase the cash generation capabilities of Just Eat Takeaway.com and will accelerate our growth. This deal delivers the right home for Grubhub and its employees.
‘I would like to thank everyone at Grubhub for their contributions to both Grubhub and the wider Just Eat Takeaway.com business.’
Just Eat noted that the deal does not impact the firm’s guidance for 2024 as detailed in its third-quarter update in October.
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