Press release

CMA clears Just Eat / Hungryhouse merger

The Competition and Markets Authority (CMA) has cleared Just Eat’s acquisition of Hungryhouse, following an in-depth phase 2 investigation.

Ordering food on mobile

A group of independent panel members has found that the merger of Just Eat plc (Just Eat) and Hungryhouse Holdings Limited (Hungryhouse) does not raise competition concerns.

Just Eat and Hungryhouse are web-based food ordering platforms in the UK. They give restaurants the opportunity to reach a wider pool of people, as well as offer consumers the convenience of choosing from a large range of takeaway providers in one place.

As first indicated in the provisional findings, the group found that Hungryhouse presently provides limited competition to Just Eat because it is much smaller in size and offers too few unique restaurants. This makes it increasingly difficult for Hungryhouse to attract and retain consumers.

Furthermore, it found that the industry is evolving rapidly following the entry of platforms such as Deliveroo, UberEATS and Amazon, which also manage or facilitate delivery services on behalf of restaurants. These companies generally present a greater competitive challenge to Just Eat than Hungryhouse, and this is likely to grow as they expand.

In reaching its final conclusion, the group also took account of the fact that some customers may order directly from takeaway restaurants, either by telephone, through their websites or by walking in.

All information relating to this merger inquiry can be found on the case page.

Notes for editors

  1. The CMA is the UK’s primary competition and consumer authority. It is an independent non-ministerial government department with responsibility for carrying out investigations into mergers, markets and the regulated industries and enforcing competition and consumer law.

  2. The CMA began its initial investigation into the merger in March 2017. The CMA referred the case for in-depth investigation on 19 May 2017 and published its provisional findings on 12 October 2017.

  3. Certain of the CMA’s functions in phase 2 merger inquiries are performed by independent inquiry groups chosen from the CMA’s panel members. The appointed inquiry group are the decision-makers on phase 2 inquiries. The members of the inquiry group are: Professor Martin Cave (Inquiry Chair), Katherine Holmes, John Krumins and Jayne Scott. The CMA’s panel members come from a variety of backgrounds, including economics, law, accountancy and/or business; the membership of an inquiry group usually reflects a mix of expertise and experience.

  4. For more information on the CMA see our homepage or follow us on Twitter @CMAgovuk, Flickr and LinkedIn and like our Facebook page. Sign up to our email alerts to receive updates on merger cases.

  5. Media enquiries should be directed to press@cma.gsi.gov.uk or 020 3738 6337.

Published 16 November 2017