Amazon agrees to investment in Just Eat's Grubhub delivery service

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Amazon is taking a 2% stake in Just Eat Takeaway.com's delivery service, Grubhub, and will offer the struggling service to Amazon Prime members for a year.

Amazon is purchasing a 2% stake in Just Eat Takeaway.com's delivery service, Grubhub, and will offer the service toJust Eat Takeaway has seen its shares dip 70% this year, with shareholders demanding it sell or find a partner for Grubhub. Just Eat had purchased Grubhub forThe GrubHub Inc. application is displayed in the Apple Inc. App Store on an iPhone in Washington, D.C., U.S., on Saturday, Feb. 4, 2017.

As part of the agreement, Amazon customers will be offered free delivery on orders worth $12 or more in cities where Grubhub operates. The deal with Just Eat was announced as part of Amazon's July "Prime Day" promotion on Wednesday. The deal is expected to give a lift to Grubhub as it struggles to keep up with its competitors. Grubhub has lost share to Doordash

 

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