Just Eat Sold For €4.1 Billion
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In a significant move that reshapes the global food delivery landscape, Dutch technology investor Prosus has announced a conditional agreement to acquire Just Eat Takeaway.com (JTKWY) in an all-cash deal valued at €4.1 billion ($4.3 billion).
The offer of €20.30 per share represents a substantial 63% premium over Just Eat Takeaway’s closing price on Friday, and a 49% premium to the 3-month volume-weighted average price.
This acquisition comes after a tumultuous period for Just Eat Takeaway, which has faced market challenges and shifting consumer behaviours in the post-pandemic era.
The company recently streamlined its operations by selling its US subsidiary Grubhub to Wonder Group for $650 million in November 2024, a significant loss compared to the $7.3 billion it paid for the business in 2021.
Prosus, which already holds stakes in several food delivery platforms globally, including Delivery Hero and Swiggy, sees this acquisition as a strategic move to strengthen its position in the European market.
The combined entity is poised to become the fourth-largest food delivery group worldwide, with a presence in 60 markets and a network of over four million delivery riders.
Just Eat Takeaway’s decision to delist from the London Stock Exchange in December 2024, citing administrative burdens and low trading volumes, set the stage for this acquisition.
The company now trades exclusively on Euronext Amsterdam, simplifying its corporate structure and potentially making it a more attractive acquisition target.
Prosus CEO Fabricio Bloisi emphasised the potential for synergies, stating, “We believe that combining Prosus’s strong technical and investment capabilities with Just Eat Takeaway.com’s leading brand position in key European markets will create significant value”.
The acquisition is expected to leverage Prosus’s experience in AI and logistics optimisation, as demonstrated by its success with iFood in Brazil, to enhance Just Eat Takeaway’s operations.
The deal has received unanimous support from Just Eat Takeaway’s Management and Supervisory Boards, with CEO Jitse Groen and other board members, who collectively hold about 8.1% of the company’s shares, committing to tender their shares.
This strong internal backing suggests confidence in the strategic rationale behind the acquisition.
As the food delivery sector continues to evolve, this acquisition represents a significant consolidation in the industry.
It reflects the ongoing trend of larger tech investors seeking to expand their footprint in the competitive European market, potentially leading to further innovations in service quality and operational efficiency for consumers and restaurants alike.
(Click to enlarge)Sources: eToro, MarketScreener