The companies say the merger will make the combined venture the world's number one mobile ordering, payments and marketing platform for the hospitality industry.

Sydney-based me&u and Melbourne-based Mr Yum have a combined customer base of more than 6,000 venues collectively, processing over $2 billion worth of restaurant transactions a year.

Their customers are located around Australia, New Zealand, UK and USA.

The combined company – its name has apparently not yet been decided – is on track to reach profitability in 2024.

It will be led by Mr Yum co-founder Kim Teo as CEO, with me&u chair Damian Smith as chair. me&u founder Stevan Premutico will become a non-executive director.

"We're both incredibly excited to join forces with another leader in this category. Over the years of competing in the marketplace, we've always had a deep respect for each other and are excited to learn from each other," said Teo.

"From our international expansion efforts, we learnt that Australia has the highest penetration of QR code table ordering globally. We're humbled that two Aussie-founded companies have built the best & most adopted platforms in our sector - used by thousands of venues and millions of guests."

Premutico said "This is a rare opportunity to see two strong Australian companies coming together to take on the world. A shared ambition to blend together technology & great experiences to build a better, smarter future for our industry. Today's announcement marks the beginning of a crazy exciting new era that will benefit customers & business owners around the world."

Kim added "Four types of customers interact with our products today - the venue operator, guests, staff and head office teams. Over the next few months, our combined company will launch a number of new products/features focused on elevating the interactions between staff and guests, as well as marketing tools to help increase foot traffic and revenue," added Kim.

Hospitality operator Merivale CEO Justin Hemmes said "Merivale has partnered with me&u across our portfolio since the very beginning. Used across countless venues and our stadia offerings, it has been a game-changer to our business and transformative to the customer experience, providing guests with a best-in-class ordering and payment system. It's exciting to see two Aussie-born start-ups join forces to unlock the future of hospitality on a global scale. Together they are revolutionising service, operations and experience in the hospitality industry – I look forward to seeing what lies ahead."

AirTree Ventures (a Mr Yum investor) partner James Cameron said "Kim and the Mr Yum team's ambitions have been global since day one, so we're excited to see how this next chapter by joining forces with me&u will accelerate their innovation and impact.

"The two companies are seen as global leaders in the category and have already demonstrated that the combination of Aussie tech and hospitality is a force to be reckoned with around the world."

Acorn Capital (a me&u investor) CEO Robert Routley said "The merger of me&u and Mr Yum is an audacious move on the part of the founders and shareholders of both companies. The combined business is an even more formidable force in spearheading the global transformation of technology-driven hospitality services. Acorn looks forward to continuing to support this remarkable Australian success story."