22nd Oct 2019 09:23
(Alliance News) - Prosus NV has made a GBP4.9 billion bid for Just Eat PLC, the Amsterdam-listed firm said on Tuesday, offering shareholders an alternative to the UK online food delivery platform's planned merger with Takeaway.com NV, also Dutch listed.
Prosus, majority owned by South African media and technology investor Naspers Ltd, has offered 710 pence per Just Eat share, which it noted is a 20% premium to Takeaway.com's own offer of 594p per share and a 20% premium to Just Eat's closing price in London on Monday.
Just Eat shares were 23% higher on Tuesday morning in London at 726.20p. Prosus was 0.8% higher at ZAR1,085.11 in Johannesburg, 1.0% higher in Amsterdam at EUR66.78. Takeaway.com was up 2.8% at EUR72.95.
In August, Takeaway.com and Just Eat proposed an all-share combination to create one of the largest food delivery companies in the world with a market capitalisation around EUR10 billion and processing orders worth over EUR7 billion per year.
Prosus, which already owns food delivery businesses such as Delivery Hero and Swiggy, said the proposed merger with Takeaway.com would not be able to bring in the investment needed. Further, Prosus said, its bid is an all-cash option for Just Eat shareholders.
Prosus joined the Amsterdam and Johannesburg stock exchanges in September after South African media giant Naspers spun off its international internet assets. Naspers still owns 74% of Prosus.
Naspers shares were marginally lower at ZAR2,287.11.
Chief Executive Bob van Dijk said: "We believe our global experience and resources can help Just Eat to achieve its significant potential. Our plan is to support the Just Eat management team, with whom we have worked closely as joint investors in iFood, to deliver on the exciting opportunities to grow the business.
"We believe that Just Eat's customers and restaurant partners will ultimately benefit from more delivery options, greater restaurant choice as well as improved service and delivery speeds driven by the combined group's expertise in product and technology innovation supported by increased capital investment in the business. As a combined group, we see significant growth and value creation potential."
Van Dijk said it has, as of yet, been unable to "engage constructively" with Just Eat's board.
By George Collard; [email protected]
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