Grubhub and Uber May Be Haggling Over Price as Uber Sells Bonds to Raise Cash
Sources closely involved with the two companies claim that Grubhub (NYSE: GRUB) and Uber (NYSE: UBER) are currently trying to hash out a sale price as Uber attempts to buy up Grubhub in the midst of the COVID-19 pandemic. Grubhub is still declining to reveal if it actually intends to sell itself, though the company remarked "consolidation could make sense in our industry" in a statement, according to Reuters.
According to the sources, Uber wants to acquire Grubhub for around $6 billion, basing the deal on a share valuation that makes each Grubhub share worth 1.9 Uber shares. Grubhub, on the other hand, apparently wants each of its stock to equal 2.15 Uber shares. The Uber price would value Grubhub shares at around $62 apiece, while Grubhub's valuation pegs them at roughly $70 each.
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Source Fool.com
