Grubhub to acquire Eat24 from Yelp for $287.5m
- Friday, August 4th, 2017
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Online food ordering company Grubhub has agreed to acquire Yelp’s Eat24, a food ordering rival, for $287.5m (£218.7m) in cash as part of a long-term partnership.
The acquisition will see the combination of Grubhub and Eat24 become ‘the largest network of restaurants offering online and mobile food order in the US’, while an initial five-year partnership sees Yelp integrate online ordering from all Grubhub restaurants.
“Adding Eat24s large diner base and thousands of restaurants to our platform will accelerate Grubhubs mission to become the most comprehensive marketplace connecting takeout diners and restaurants,” said Matt Maloney, founder and CEO of Grubhub. “The long-term agreement ensures that Grubhub also has access to Yelps enormous user base and clear content leadership to help drive more diners to our restaurants.”
With Grubhub integrating into Yelp, it expands the service’s reach massively, building on its integration with TripAdvisor in May.
Earlier this year also, Yelp acquired Nowait, a restaurant waitlist and seating platform, for $40m. Nowait enables restaurants to share real-time seating availability. So, Yelp hasn’t completely removed itself from the food and drink sector just yet – it will just no longer focus on the delivery.