The Wall Street Journal reported that Uber Technologies is in talks with Grubhub involving an all-stock transaction with the acquired company valued at $68 per share representing a premium of 45 percent over value on Monday, May 11th. 

With the decline in the use of ride services, the Uber Eats segment of the company is contributing to cash flow.  Ride volume is down 80 percent, but the food delivery business was up 52 percent compared to the first quarter of 2019.

With the prospect of prolonged COVID-19 restrictions and a disinclination for customers to patronize restaurants, Grubhub would complement and consolidate the Uber Eats business for the immediate and potentially long-term.