EU: Prosus offers US$6B for Just Eat

Dutch internet conglomerate Prosus made an unsolicited US$6.3 billion cash bid to buy British food delivery firm Just Eat on Tuesday, October 22, putting in danger Takeaway.com’s bid.

The offer is the first major move by chief executive Bob van Dijk since South Africa’s Naspers  spun out the company last month, creating a European tech firm valued at US$120 billion, largely due to its 31% stake in China’s Tencent. 

Van Dijk said the all-cash 710 pence-a-share offer was worth £4.9 billion (US$6.3 billion), a 20% premium to Takeaway’s offer based on Monday ‘s closing price of its shares. 

Takeaway and Just Eat agreed the terms of a merger in August that would create one of the biggest food delivery groups outside China, with leadership in Britain, Germany, the Netherlands, and Canada.

Prosus’ Van Dijk said he went public to give Just Eat’s shareholders the opportunity to consider a higher bid. 

“We don’t believe we’re going hostile,” he said. “We haven’t been able to agree on a proposal, but we believe that shareholders will find this offer attractive.” 

He said the companies had some overlap in Brazil, where both are shareholders in iFood, and that Prosus had the financial resources needed to invest and grow Just Eat’s business.

Full Content: Reuters

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