Tag Archives: GrubHub

Local Hospitality Industry Transactions

Despite the outbreak of the novel coronavirus, there have still been some business transactions in the works.  Here, we look at two local ones in the hospital industry: a brewery and a food delivery firm.

Having ceased operations during the coronavirus outbreak, Argus Brewery has now been put up for sale for $2.5m. This facility produces and distributes beer and is located in a Pullman District. The space – measuring 9,700 square foot has the capacity to make 10,000 barrels each year.  There is at least one camera in each room, a huge freight elevator with a fully operational original motor designed by Nikola Tesla.  The $2.5m price tags includes the delivery vehicle, equipment, and any remaining furniture and intellectual properties.

Then there is the Amsterdam-based food delivery firm Grubhub. This is being purchased by Just Eat Takeaway.com for a $7.3b price tag.  This will make it the largest online food delivery platform in the world (except for China). Each share of Grubhub is being valued at $75.15.  Matt Maloney, founder and CEO of Grubhub will take up membership on the board at Just Eat Takeaway.com. at the end of 2020, there were approximately 2,700 employees; 1,200 of these are in Chicago. It is anticipated that the deal will be complete by Q1 2021. 

Chicago’s K.I.S.S Approach to the Business of Food

A food trend is happening nationwide and now businesses in Chicago are part of it.  Starting as a small basement project in Chicago back in the summer of 2013, a few best friends who were broke and “couldn’t believe there wasn’t a better protein bar out there” got together.  It was simple and it was honest.

They were told their packaging wouldn’t work:  not appetizing, just boring facts.  But that’s what they did and today they just list the four ingredients on their packages:

  • 3 Egg Whites
  • 14 Peanuts
  • 2 Dates
  • No B.S.


  • 3 Egg Whites
  • 6 Almonds
  • 4 Cashews
  • 2 Dates
  • No B.S.

And now, it has been purchased by Kellogg’s.  For $600m.

According to a recent Forbes article by contributor Peter Wilkins, this transaction is indicative of “a growth signal for one of  Chicago’s booming new industries: simple food and beverage. Simple food and beverage companies are ones that focus on producing and distributing foods with whole, pronounceable ingredients that are transparently presented and are meant to be nutritionally good for you.”

And it seems to be what consumers want.  They want to be able to pronounce and recognize each ingredient on a label and are seeking out “less is more.”  The businesses that are providing this seem to be increasing their revenue around three times faster, while encountering a market share increase by 1.7% with their counterparts’ share simultaneously declining 0.7%.

Other Chicagoan examples include: SkinnyPop, Mike’s Hard, Peapod, Protein Bar and GrubHub.