Business

Just Eat shareholders approve Takeaway.com takeover

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Just Eat app is displayed on a smartphone in London on Aug. 5 2019. Toby Melville  Reuters

Before Takeaway.com submitted its final bid of £9.16 a share.

Aside from that, in its Thursday's (January 9th) statement, the Dutch online food ordering company had also added that its proposed all-share merger with London-based Just Eat Plc., operating in 13 major markets across America, Europe, Oceania and Asia, was approved at an exclusive meet of the controlling stakeholders in Amsterdam earlier.

Launched by five Danish entrepreneurs in 2001, Just Eat originally linked customers to restaurants that handled their own deliveries.

Online food ordering company Takeaway.com has won the battle for the UK-listed Just Eat with a £5.9bn all-share offer.

"I wish to thank everybody involved, but especially the Just Eat staff for their patience, in what must have been an uncertain time", Takeaway chief executive Jitse Groen said.

The deal comes after Just Eat bought the United Kingdom firm HungryHouse and Takeaway.com acquired Delivery Hero's German business in 2018. We have been clear throughout that we would remain disciplined in how we allocate our capital and the price that we would offer.

Prosus was Takeaway.com's rival for Just Eat and had offered cash bids of 710p, 740p, and 800p.

The company said that the tie-up will result in annual cost-savings of around €20m (£17m), largely due to platform centralisation, better procurement, and the unification of branding.

Just Eat's shareholders will own 57.5% of the newly combined entity though it will be run by the Dutch group's management.

Prosus argued Takeaway was underestimating the investment needed to fend off rivals such as Uber Eats and Amazon.com.

Prosus, a spinoff from South African media giant Naspers, swooped in with a hostile cash offer in October, sparking the bidding war.

Takeaway will have to prove that the business model it has pursued in Germany and the Netherlands, which has led to rapid sales growth and improved core earnings (EBITDA), will eventually lead to lasting profitability for the group.

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