Just Eat and Hungryhouse merger cleared by CMA after Phase 2 investigation

Just Eat and Hungryhouse merger cleared by CMA after Phase 2 investigation

The CMA has unconditionally approved the acquisition of Delivery Hero’s Hungryhouse by Just Eat following a Phase 2 review. Both Just Eat and Hungryhouse operate take away food ordering platforms in the UK.

Despite the parties’ having a combined share of 80% in online food platforms orders, the merging parties were able to persuade the CMA there were no competition concerns.  In particular, analysis was undertaken showing Hungryhouse provided only a limited competitive constraint on Just Eat, that Just Eat is subject to strong dynamic constraints from new and fast growing entrants including Deliveroo, and that traditional methods of ordering take away are still relevant.

Even in local areas where Deliveroo and UberEATS were not present, it was found that the constraint from Hungryhouse was more limited than that from direct ordering.

For more details, please see the CMA’s press release.