Yelp acquires food-ordering app Eat24 for $134 million

Written By Unknown on Rabu, 11 Februari 2015 | 21.43

SAN FRANCISCO: Yelp on Tuesday announced that it gobbled up online food ordering service Eat24 in a deal valued at $134 million.

San Francisco-based Yelp expected the popular service for ordering food on mobile devices or computers to ramp engagement with restaurants, considered a key sector for the crowd-sourced business reviews operation.

"As more food ordering transactions move online, further integrating Eat24 will enhance our user experience with an easy-to-use product and service that allows our large consumer audience to transact directly with businesses," said Yelp co-founder and chief executive Jeremy Stoppelman.

Eat24 was founded about seven years ago in the Silicon Valley city of San Bruno and is used by an estimated 20,000 restaurants in the United States to let people order online for delivery or take-away meals.

"This is an incredible opportunity to further connect with Yelp's highly engaged users and to expand our reach to even more local businesses on its platform," said Eat24 co-founder and chief executive Nadav Sharon.

The acquisition involved 1.4 million shares of Yelp stock and $75 million in cash.

Yelp has spread to 29 countries since it was founded in mid-2004 and boasted being visited by about 135 million people monthly as of the end of last year.

More than half of those visits were from people using mobile devices, according to Yelp.

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