What Wonder owns and how it works
Wonder Group owns the Grubhub delivery app and meal prep company Blue Apron. It also runs a New York-based restaurant concept where multiple eateries share a kitchen, giving diners a choice of different menus from one location. Marc Lore established the company; earlier he started Jet.com, and Walmart eventually acquired it for more than $3 billion. Earlier this year, Wonder announced its first restaurant acquisition, New York's Blue Ribbon Fried Chicken.
Deals, rewires and a push for share
Wonder has pursued deals at a rapid clip, bringing in Blue Apron, Grubhub, and the media outfit Tastemade focused on food. Once last year's purchase of Grubhub from Just Eat Takeaway.com NV closed, the company revamped the platform, layering on extra promotions and benefits to reclaim share from DoorDash and Uber Technologies Inc. During integration, Wonder eliminated 23% of Grubhub roles, dropped charges for restaurant purchases above $50, and said it would divest Grubhub's campus dining unit to DoorDash for $300 million.
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Expansion plan and what matters for your portfolio
Wonder says new investment will largely back a fast buildout, and Lore said the company is actively looking to buy more. It also overhauled Blue Apron's model, shifting from a signature subscription to selling a la carte meal kits that require little prep to reach more users. The bottom line: the share count and price for the proposed IPO are not yet determined, but paired with the July $650 million raise at a $9 billion pre-money valuation and ongoing restructuring, you can see a roll up strategy taking shape across kitchens, delivery, and meal kits.
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