LONDON: Just Eat Takeaway.com N.V. (LSE: JET, AMS: TKWY) has entered into a definitive agreement to sell Grubhub Inc. to Wonder Group, Inc. for an enterprise value of USD650 million.
Transaction highlights
· Agreement to sell Grubhub to Wonder for an enterprise value of USD650 million;
· Grubhub will be transferred with its USD500 million of senior notes and, after customary adjustments, net proceeds to the Company are expected to be up to USD50 million;
· Completion expected during Q1 2025, subject to customary closing conditions including regulatory approvals;
· Following completion of the Transaction, Just Eat Takeaway.com will retain no material liabilities associated with Grubhub;
· The above enterprise value reflects the Company’s expectation that New York City fee caps will be amended in the near term.
Jitse Groen, founder and CEO of Just Eat Takeaway.com, 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.”
Marc Lore, founder and CEO of Wonder, said: “Wonder’s acquisition of Grubhub continues our mission to make great food more accessible. As we enhance our customer experience with selection, speed, and variety, we’re excited to soon offer a curated selection of Grubhub’s restaurant partners directly in the Wonder app, alongside our owned and operated restaurants and meal kits. Bringing Wonder and Grubhub together is the next step in our vision to create the super app for meal time, re-envisioning the future of food delivery.”
The Transaction follows the Company’s prior announcements that it was actively exploring the partial or full sale of Grubhub. The Transaction increases Just Eat Takeaway.com’s ability to support investment in countries in which it has the greatest competitive advantage. It also improves Just Eat Takeaway.com’s GTV growth and free cash flow generation. Furthermore, the Transaction positively impacts Just Eat Takeaway.com’s capital structure and liquidity position.
The Transaction does not impact the Company’s guidance for 2024 as set out in its Q3 2024 Trading Update on 16 October 2024.
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