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Seamless, GrubHub to merge online takeout ordering services

May 20, 2013|By Tiffany Hsu
  • Seamless and GrubHub are going to merge to create a single online takeout ordering service.
Seamless and GrubHub are going to merge to create a single online takeout… (Robert Lachman / Los Angeles…)

That deep dish pizza or juicy burger from the restaurant you’re just too busy (or lazy) to drive to yourself could be within reach, as major online takeout ordering services Seamless North America and GrubHub Inc. move to combine into a single company.

If regulators approve the deal, the businesses’ remote ordering capabilities will extend to more than 20,000 eateries in more than 500 U.S. cities. GrubHub alone lists 250,000 menus on its site.

The companies said in a statement that they expect the merger to help broaden their networks and product offerings, boost innovation and pull in more of the corporate clientele that Seamless is known for attracting.  

Financial terms of the deal were not disclosed, but the companies said that they helped local restaurants generate $875 million in gross food sales last year and brought in more than $100 million in combined revenue.

GrubHub co-founder and Chief Executive Matt Maloney will serve as chief executive of the collective company, while Seamless Chief Executive Jonathan Zabusky will be president. Brian McAndrews, formerly an independent director on Seamless’ board, will chair the combined Seamless-GrubHub board.

The Seamless-GrubHub alliance will not have a single home base – all offices in Chicago, New York, Salt Lake City and London will remain open, with the leadership team dispersed across the locations.

The name and marketing strategy for the new entity will be established after the union clears regulatory hurdles.

When? “As quickly as possible,” GrubHub spokeswoman Abby Hunt said in an email.

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