Wonder buys Grubhub in $650 million food delivery app deal

Nov. 13 (UPI) -- The food delivery app Wonder announced on Wednesday it has bought Grubhub in a $650 million dollar combination debt and cash deal.

Wonder will pay $150 million in cash and assume $500 million in senior debt notes, money owed to Grubhub's debtors.

"Wonder's acquisition of Grubhub continues our mission to make great food more accessible," Wonder founder and CEO Marc Lore said in a statement. "As we enhance our customer experience with selection, speed, and variety, we're excited to soon offer a curated selection of Grubhub's restaurant partners directly in the Wonder app, alongside our owned and operated restaurants and meal kits."

Next steps include integrating Grubhub with Wonder. The deal is subject to regulatory approval and is expected to close in the first quarter of 2025.

Wonder said in a statement that it is pioneering what it calls "Fast Fine" dining.

"Wonder offers Multi-Restaurant Ordering, a first in the industry where customers can order from upwards of 30 restaurants in a single order, with each item being made-to-order in a sequenced fashion so that they finish simultaneously and can be delivered to the customer together," Wonder said.

Grubhub CEO Howard Migdal said in a statement, "I am incredibly excited for Grubhub to join forces with Wonder and bring more value to our diners, merchants and delivery partners. Since our earliest days, Grubhub has helped restaurants open their doors to new customers, while introducing diners to new cuisines. That's why I'm confident that Grubhub will complement Wonder's mission to make great food more accessible and that together we will create remarkable dining experiences for more customers across the country."

In 2023 Wonder bought Blue Apron, a meal kit pioneer.

Wonder features food delivery from chefs including Bobby Flay, Jose Andres, Nancy Silverton and Marcus Samuelsson.

Grubhub delivers food from 375,00 merchants in over 4,000 U.S. cities.