initial public offerings (IPOs) trading on American exchanges

Friday, February 28, 2014

GrubHub files for $100M IPO

The Chicago-based online food-ordering service, which merged last year with New York-based Seamless Inc., has been profitable for three years.

GrubHub CEO Matt Maloney

According to the filing, it had $137 million in revenue last year and net income of $6.7 million. Excluding interest, taxes, depreciation and amortization, GrubHub's operating profit was $38.1 million.

Revenue grew 66 percent last year following the merger, after climbing 36 percent in 2012, according to the filing.

The company’s customer base exploded after the merger with Seamless, whose business is much more focused on corporate food-delivery in New York and other markets. The number of diners more than tripled last year to 3.4 million.

The 10-year-old company lined up A-list bankers to lead the deal, including Citigroup, Morgan Stanley and Allen & Co. Chicago-based Wm. Blair & Co. also is an underwriter.

Last week the Wall Street Journal reported that GrubHub had made a confidential filing for an initial public offering.

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