Wonder finalizes acquisition of Grubhub for $650 million
Wonder completed its acquisition of Grubhub from Just Eat Takeaway for $650 million. Grubhub was transferred to Wonder along with $500 million in debt, netting Just Eat Takeaway up to $50 million in proceeds from the sale.
Just Eat Takeaway first announced it was considering a full or partial sale of Grubhub back in April 2022, though rumors had been circulating well before that. The sale was finalized after Wonder and Just Eat Takeaway entered into a definitive agreement in November 2024.
The acquisition brings 375,000 merchants into Wonder's portfolio. Wonder—Marc Lore's New York City-based startup—has raised $1.25 billion in capital since its founding in 2018, including $250 million announced at the end of 2024. The company also acquired meal kit provider Blue Apron in 2023.
"The transaction increases Just Eat Takeaway.com's ability to support investment in countries in which it has the greatest competitive advantage, improves Just Eat Takeaway.com's GTV growth and free cash flow generation, and has a positive impact on Just Eat Takeaway.com's capital structure and liquidity position," the company said in a statement.
This marks a dramatic fall for Grubhub. The company was once a dominant player in food delivery, but it's been losing ground to DoorDash and Uber Eats for years. The $650 million sale price tells the story—Just Eat Takeaway bought Grubhub for $7.3 billion in 2020. That's a 91% loss in value over five years.
Grubhub couldn't keep up with DoorDash's aggressive expansion and Uber's integration with ride-hailing. DoorDash grabbed market share by flooding markets with drivers and promotions, while Uber Eats used its existing driver network and app ecosystem. Grubhub got squeezed in the middle, stuck in third place with declining relevance.
The debt situation makes it worse. Just Eat Takeaway is basically handing over Grubhub with $500 million in debt attached, walking away with maybe $50 million after everything settles. That's not a sale—that's cutting your losses and moving on.
For Wonder, this could be a smart play. They're getting 375,000 merchant relationships and an established delivery infrastructure at a steep discount. Amazon previously took a stake in Grubhub in 2022, but that partnership couldn't reverse the decline. Combined with Blue Apron, Wonder is building a food delivery ecosystem that spans meal kits, restaurant delivery, and virtual food halls. Whether they can turn Grubhub around is another question.
The lesson here is that being first doesn't guarantee you'll win. Grubhub was one of the original food delivery apps, but it lost the execution battle to hungrier competitors. DoorDash executed so well they joined the S&P 500 in March 2025, cementing their position as one of the fastest-growing gig economy companies in the world. That's the difference between winning and losing in competitive markets—execution matters more than being first.
Source: Nation's Restaurant News