Troubled Grubhub's Parent Company Seeks Investment Partner: WSJ

Vandana Singh
·1 min read

  • Dutch multinational online food ordering and delivery company Just Eat Takeaway.com NV (OTC: TKAYF) is hit by doubts about whether it can sell its U.S. operation, Grubhub Inc.

  • As per Wall Street Journal, Grubhub CEO Adam DeWitt said the company's parent hopes to find a strategic partner, though a divestiture cannot be ruled out.

  • In some of his first public remarks about the company since Just Eat said in April it would consider selling Grubhub, as its U.S. division encounters challenges.

  • "It's more about finding a way to help us grow than it is necessarily about the sale," Mr. DeWitt said Tuesday at The Wall Street Journal's Global Food Forum.

  • According to Grubhub, it lost market share as diners worked from home in the suburbs, where its rivals have the upper hand and fewer big chain restaurants on its app.

  • The CEO also defends free-lunch promotion in New York City, even though orders overwhelmed some restaurants leaving many diners angry.

  • Mr. DeWitt said the company aims to balance making money off orders and helping operators make money amid 30% commissions charged to restaurants.

  • Photo by Haydn Blackey via Flickr

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