Global tech firm Prosus has set its eyes on acquiring Just Eat Takeaway.com, offering £3.3 billion to create what it describes as a "European tech champion". The Amsterdam-based private equity firm announced its plan to launch the offer "as soon as practically possible," likely expecting results by the second quarter of 2025. The acquisition, pending eventual completion by year’s end, is poised to reshape the competitive dynamics of the food delivery market.
Prosus has proposed to acquire the entirety of Just Eat Takeaway.com's share capital at €20.30 per share, which presents a premium of 63 percent over the company’s last closing price on February 21, 2025. Market reaction to this announcement has been positive, with Just Eat shares climbing to €19 per share shortly thereafter. Just Eat Takeaway.com, born from the merger of Just Eat and Takeaway.com in 2020, has experienced mixed fortunes since the pandemic-fueled boom of online dining waned.
Fabricio Bloisi, CEO of Prosus and Naspers group, emphasized the visionary aspect of this acquisition, stating, “The transaction provides an opportunity to couple Prosus’ investment expertise, tech and AI capabilities and innovation mindset, with Just Eat Takeaway.com’s brand strength and solid fundamentals.” This merge aims to create synergies between both companies, enhancing technological capabilities and operational efficiencies.
Just Eat Takeaway.com finds itself at pivotal juncture, as articulated by Dick Boer, chair of the supervisory board, who expressed confidence, saying, “The supervisory board unanimously supports the offer and is confident this outcome is in the best interest of Just Eat Takeaway.com and all its stakeholders.” By aligning with Prosus, Just Eat Takeaway.com is expected to leverage significant financial resources and long-term investment strategies, aiming for sustainable growth.
This proposed acquisition not only signifies Prosus's expansion ambitions but also highlights its existing interests in the food delivery space. The firm already holds minority stakes in leading delivery platforms such as Delivery Hero and Meituan, alongside India’s Swiggy. This diversification reflects Prosus's strategy to capitalize on the growing global demand for food delivery and its interest in developing technological platforms to improve service delivery.
Just Eat Takeaway.com has faced challenges recently, as demonstrated by its financial report for 2024. Although the gross transaction value (GTV) witnessed growth of two percent, it declined by two percent compared to North American metrics. The group's total revenue dipped by one percent to £5 billion, which is attributed to dropping order volumes particularly affected by weaker market conditions observed across North America and parts of Europe and Australia.
Nevertheless, the company reported more favorable adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) figures, rising to €460 million (£381 million) from €339 million (£281 million) the prior year. The improvement was mainly seen within the UK and Ireland, leading to optimism for future operational efficiency and profitability, as noted by Jitse Groen, CEO of Just Eat Takeaway.com, who said, “Following the sale of our US operations, Just Eat Takeaway.com has become a more focused, faster growing, and more profitable business.”
Now, with Prosus's bid for acquisition, Just Eat Takeaway.com aims to sharpen its focus and increase investments, particularly within European and UK markets. Groen expressed ambitious aspirations for 2025 emphasizing investments set to amplify growth potential.
The integration of Just Eat Takeaway.com with Prosus could lead to innovative practices within the food delivery sector, particularly utilizing AI to refine customer experiences as gleaned from Prosus’s previous success with Brazil’s iFood. The significance of this partnership possibly heralds new methodologies aimed at enhancing operational aspects of food delivery frameworks.
With the backing of Prosus's financial strength and strategic vision, Just Eat Takeaway.com might emerge rejuvenated, capable of tackling past challenges and paving the way for sustainable growth within the food delivery market. The anticipated collaboration seeks to echo across the European market as both firms leverage their respective strengths to cement leadership within this burgeoning sector.