Uber in discussions to acquire GrubHub: report

Uber in discussions to acquire GrubHub: report

Uber is in discussions to acquire GrubHub in a deal that would consolidate two of the biggest players in the meal delivery business, Bloomberg News reported Tuesday.

The ride-sharing giant, which operates Uber Eats, has reportedly already made an offer.

Bloomberg reported that the deal could be completed before the end of May.

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The deal would reportedly be an all-stock takeover that would see GrubHub absorbed into Uber's operations.

The Hill has reached out to Uber for comment on the reports. GrubHub declined to comment.

DoorDash is the country's current food delivery leader, with a 35 percent market share, according to a report from October 2019.

However, GrubHub, with 30 percent, and Uber Eats, with roughly 20 percent, aren't far behind.

Combining the two would comfortably make Uber the largest food delivery company, giving it a huge advantage over its competitors.

Food delivery has soared in popularity as the coronavirus pandemic keeps many Americans home.

While Uber saw a record $2.9 billion in losses in the first quarter of 2019, its food delivery business showed significant growth.

Eliminating a direct competitor could boost that business further and spell trouble for other food delivery companies, like DoorDash.