As Amazon-backed Deliveroo expands into click-and-collect and procurement providers to develop its footprint with eating places in Europe, a meals combat amongst three different takeout and supply gamers continues apace in an ongoing consolidation march to compete higher in opposition to the likes not simply of Deliveroo but in addition Uber Eats and extra.

Today, Prosus — the recently-listed arm of Naspers comprising its intensive on-line property (together with a big stake in Tencent) — mentioned that it will be prepared to pay £4.9 billion ($6.three billion) in money for Just Eat, one of the large gamers in the meals takeout and supply market in Europe. The bid is a hostile one: Just Eat has been in the center of engaged on a mixture with, one other giant competitor in the market; and right now Just Eat wasted no time in asking its shareholders to reject the Prosus supply.

“The Board believes that Just Eat is a leading strategic asset in the food delivery sector and the Prosus Offer fails to appropriately reflect the quality of Just Eat and its attractive assets and prospects, the benefits of first mover advantage in a consolidating sector, and the significant future upside available to Just Eat shareholders through remaining invested in Just Eat and the Combination,” it famous in an announcement. “The Board of Just Eat believes that the Combination is predicated on a compelling strategic rationale that can ship a quantity of strategic advantages and larger worth creation to Just Eat shareholders than the phrases of the Prosus Offer. Accordingly, the Board of Just Eat continues to unanimously advocate the Combination to Just Eat shareholders.”

Prosus’ supply, which works out to 710 pence per Just Eat Share, is 20% increased than’s supply of 594 pence (which itself was at a premium to Just Eat’s share value).

The Takeaway supply has been months in the making and has had a quantity of twists and turns. The first announcement for a $10 billion merger was made in July, however in the interim Prosus made its first hostile supply, and so the deal switched to a takeover this month in hopes of securing shareholder settlement sooner.

At stake for all gamers is the truth that the supply enterprise continues to be a fast-growing however very crowded area, with a quantity of gamers working unprofitably and hoping for consolidation in order to enhance their economies of scale and margins. If economies of scale and higher margins is the rock, the competitors is the exhausting place: all three have a robust and really extremely capitalised set of a pair of rivals in the shape of Uber Eats and Amazon-backed Deliveroo, with a quantity of smaller but in addition quick rising startups persevering with to crowd the sphere.

Just Eat and have already executed some consolidating of different operations. The latter two have devoured up completely different elements of DeliveryHero’s European enterprise in latest occasions. Prosus, in the meantime, has a 22% stake in the remaining DeliveryHero enterprise (outdoors of Europe), alongside stakes in India’s Swiggy and iFood in Latin America. This would imply that Prosus taking up Just Eat could be much less about consolidation of European holdings, which might be one purpose why Just Eat is much less eager on the concept. has additionally issued a response to the information, noting that it’s the one one of the three that has engaged on constructing profitability into the enterprise: it’s at present worthwhile in the Netherlands, its house market, and is on observe to getting there in Germany (a observe it believes it may well proceed with extra scale).

“Given the circumstances, I can fully understand that the current cash values of both our and the competing offer aren’t particularly appealing to the Just Eat shareholders, and seem to be quite far removed from the fair value of Just Eat. We do however believe that the agreed merger ratio between Just Eat and is appropriate,” famous Jitse Groen, CEO of, in an announcement. “ now operates in two out of the world’s four major profit pools. Including the UK, the Just Eat combination will therefore operate in three out of the four major profit pools globally available. This in stark contrast with most other food delivery websites, which are loss-making, and in our opinion, will likely never become profitable.”

It appears that Naspers’ Prosus says that that is its final and remaining supply for Just Eat, however that is unlikely to be the ultimate phrase on how meals supply and takeout will play out in Europe (or globally).

The market remains to be largely working in the purple globally — and even essentially the most established gamers, like GrubHub, usually are not seeing a lot stability. And with about half a dozen big gamers working in completely different markets, and plenty of capital using on every of them, we’ll be seeing a quantity of offers and product expansions — for instance the emergence of extra “virtual” kitchens different added providers comparable to restaurant procurement — earlier than it’s all gravy for this trade.

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