| NEW YORK/SAN FRANCISCO
NEW YORK/SAN FRANCISCO Nov 9 Online food
delivery company GrubHub has hired banks for an initial public
offering next year, according to three people familiar with the
Chicago-based GrubHub, which competes with larger rival
SeamlessWeb to allow consumers to order food via the Internet or
mobile phones, has selected Citigroup to lead the IPO, two
of the people said.
The company is in the process of filling out the rest of its
underwriting syndicate, said the people, who requested anonymity
because the IPO plans are not public.
Founded in 2004, GrubHub is backed by venture capital
investors including Benchmark Capital, DAG Ventures and
Lightspeed Venture Partners.
The company's revenue is about half that of SeamlessWeb,
which posted roughly $60 million in sales last year, one of the
people said. This pegs GrubHub's 2011 revenue at around $30
GrubHub, which has more than 250 employees, has raised more
than $84 million in venture funding, including $50 million in
Last year, GrubHub acquired New York-based Dotmenu, which
ran Campusfood and Allmenus.
GrubHub declined to comment. Citigroup did not immediately
respond to requests for comment.