Groupon Inc. is acquiring online and mobile food ordering and delivery service OrderUp, plans to expand into the $70 billion sector, reports TechCrunch.

The deal “creates an online and mobile food ordering marketplace of significant size and scale” and provides opportunities for inventory cross-promotion, Groupon said in the report.

Global e-commerce marketplace Groupon connects millions of subscribers with local merchants by offering activities, travel, goods and services in more than 45 countries. Launched in November 2008, Groupon first market was Chicago, followed soon thereafter by Boston, New York City, and Toronto. By October 2010 Groupon served more than 150 markets in North America and 100 markets in Europe, Asia, and South America, and has 35 million registered users.

Groupon began as a website that sends deal-of-the-day emails and later began to transforming into a more traditional e-commerce site and mobile application.

Founded in 2009, OrderUp operates in areas including Baltimore and Denver, and several cities with large student populations like Bloomington, Ind.

Last year, the Baltimore Company received $9 million in Series A funding led by Revolution Ventures. At the time, the company said it would expand to underserved localities. Revolution managing partner Tige Savage said in a statement at the time that “outside the major metropolitan markets, it’s shockingly difficult to find online food delivery options.”

“Groupon’s reach and ability to connect supply and demand at scale make it the perfect destination for us to grow even faster and expand in our targeted local markets,” OrderUp CEO Chris Jeffery said in a news release. “We look forward to bringing the thousands of great restaurants that we feature to hungry Groupon customers across the country.”

For its part, Groupon sees this as an opportunity to better serve its 25 million customers across the country. “Online food ordering and delivery represents an untapped opportunity for Groupon and serves as a natural extension of our local marketplace,” Groupon CEO Eric Lefkofsky said in a press release.

“The potential in delivery and takeout is apparent — especially with the growth of mobile — and OrderUp’s operational ability, coupled with Groupon’s engaged customer and merchant base, bring tremendous scale to the space.”