Uber aims at the top of the podium in a move to acquire GrubHubPublished by Terence Mahier | Source
Yesterday, Uber made an offer to buy food delivery company & competitor Grubhub in an effort to consolidate a booming market 🚴♀️🍔
This move would bring together two of the largest food delivery companies. However, both sides have yet to agree on a deal. Rumors said Uber offered as much as 2.15 shares of Uber for each share of GrubHub in an all-stock deal.
So far, GrubHub said "no, thanks" 🔥
Go big or go home. Uber's strategy of being #1 in each of its markets has paid off so far and investors are excited about the potential merger. Uber stock is up +2.5% as investors are monitoring the deal.
Will Uber raise its bid? 🤑
We mentioned last week that Uber Eats saw a 50% year-over-year increase of its business partly thanks to the lockdowns, even though it's not yet profitable.
Uber's strategy is straight forward. No matter how much they lose money, they want to become the number 1 ridesharing and food delivery platform in all the regions and countries it operates in 👑
As an illustration, last week Uber led a $170 million investment in scooter company Lime. As part of the deal, Uber handed over its own scooter and bike business, called Jump, to Lime. The Lime and Uber apps will eventually integrate.
Uber is following the downward movement of the market. The stock could spike again in the near future if the company manages to strike a deal with GrubHub... Keep an eye open 😉
- Newspill Team 💊
14-May 08:25 (Eastern Time)
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