Wonder is acquiring Grubhub

#1

Post by endtwist » Wed, Nov 13, 2024, 7:12 PM UTC

Wonder is acquiring Grubhub
about.grubhub.com

Re: Wonder is acquiring Grubhub

#2

Post by chirau » Wed, Nov 13, 2024, 7:20 PM UTC

How do these deals work?

I am assuming, and I could be very wrong, that Wonder is smaller by market cap than Grubhub.

Re: Wonder is acquiring Grubhub

#3

Post by bsimpson » Wed, Nov 13, 2024, 7:20 PM UTC

Those weird ghost kitchen things have more than half a billion dollars to spend on acquisitions?!

I wonder how this came to be - did they already have that big of a war chest, or did they hear they could buy a name brand and go back to their investors to finance it?

Re: Wonder is acquiring Grubhub

#4

Post by jaymzcampbell » Wed, Nov 13, 2024, 7:21 PM UTC

Mentions the $650mln they'll pay Just Eat for it, neglects the fact Just Eat paid $7.3bln. Quite the write down. And in just 4 years.

Re: Wonder is acquiring Grubhub

#5

Post by philip1209 » Wed, Nov 13, 2024, 7:21 PM UTC

bsimpson wrote: post #3

Those weird ghost kitchen things have more than half a billion dollars to spend on acquisitions?! I wonder how this came to be - did they already have that big of a war chest, or did they hear they could buy a name brand and go back to their investors to finance it?

Grubhub has revenue, which means they might be able to finance the acquisition with debt.

Re: Wonder is acquiring Grubhub

#6

Post by snarf21 » Wed, Nov 13, 2024, 7:21 PM UTC

At first blush, this might seem like another silly roll-up. However, I believe in Marc Lore completely and it will be interesting to see what this becomes. This is bad news for DoorDash (imo).

Re: Wonder is acquiring Grubhub

#7

Post by gnabgib » Wed, Nov 13, 2024, 7:22 PM UTC

Discussion (26 points, 3 hours ago, 63 comments) https://news.ycombinator.com/item?id=42127304

Re: Wonder is acquiring Grubhub

#8

Post by Morac0o » Wed, Nov 13, 2024, 7:22 PM UTC

philip1209 wrote: post #5

bsimpson wrote: post #3

Those weird ghost kitchen things have more than half a billion dollars to spend on acquisitions?! I wonder how this came to be - did they already have that big of a war chest, or did they hear they could buy a name brand and go back to their investors to finance it?

Grubhub has revenue, which means they might be able to finance the acquisition with debt.

[flagged]

Re: Wonder is acquiring Grubhub

#9

Post by snarf21 » Wed, Nov 13, 2024, 7:22 PM UTC

bsimpson wrote: post #3

Those weird ghost kitchen things have more than half a billion dollars to spend on acquisitions?! I wonder how this came to be - did they already have that big of a war chest, or did they hear they could buy a name brand and go back to their investors to finance it?

I see this is as simply buying scale more quickly than they could grow organically.

Re: Wonder is acquiring Grubhub

#10

Post by popcalc » Wed, Nov 13, 2024, 7:24 PM UTC

jaymzcampbell wrote: post #4

Mentions the $650mln they'll pay Just Eat for it, neglects the fact Just Eat paid $7.3bln. Quite the write down. And in just 4 years.

Where did all the money go?