A merger between Uber and Grubhub has collapsed after the online food delivery giant giant balked over concerns it wouldn’t get anti-trust approval in the United States. It has chosen instead to do an all-stock deal with Just Eat Takeaway, a European-based company. Uber has been searching for ways to improve its market share, convinced that only size can make the business profitable. But Grubhub was apparently too big a mouthful in combination with Uber as the ride-sharing giant had also hesitated from closing on the deal. Grubhub, which had recently merged with Just Deat and Takeaway.com was feeling pressure from US lawmakers who were concerned by the potential dominance a deal with Uber would bring. Speaking off-record with CNBC, an Uber spokeperson explained his company’s search for a partner in what it sees as a fragmented sector. “Like ridesharing, the food delivery industry will need consolidation in order to reach its full potential for consumers and restaurants.”
