Grubhub acquires OrderUp operations in State College

Grubhub and Groupon, the parent company of OrderUp, recently announced a partnership that the companies have framed as mutually beneficial.

OrderUp, originally called LionMenus in 2009 when it was founded by Penn State students Chris Jeffery and Jason Kwicien, was sold to Groupon in 2015 for about $69 million. Terms of the Groupon and Grubhub partnership were not released.

The online and mobile food-ordering and delivery company will undergo changes as part of the partnership, according to the companies in a joint release. The agreement includes Grubhub’s acquisition of “certain assets” in 27 OrderUp markets, including State College.

“We’re thrilled to join forces with Grubhub to vastly expand the number of food delivery options available through our marketplace,” Rich Williams, Groupon’s CEO, said in a release. “This partnership connects two of the biggest players in local commerce and is a win for both consumers and restaurants by providing people with more savings and access to the food they want, when they want it.”

The partnership will enable consumers to order from Grubhub’s restaurant partners and redeem Groupon deals when they order Grubhub delivery via Groupon.

“We expect a seamless transition for both customers and restaurants,” Groupon spokesman Nicholas Halliwell said. “We’ll be working with Grubhub to transition these customers and restaurants over to their ecosystem. For now, you can still use the OrderUp app and website to order food delivery from your favorite State College restaurants.”

This story was originally published August 8, 2017 at 12:30 AM with the headline "Grubhub acquires OrderUp operations in State College."