The two leading food delivery players Just Eat and Takeaway.com have announced their decision to merge together and become one of the largest online food delivery companies in the world. Combining their forces and taking on larger market scale will help them to compete better with their main competitors Uber Eats and Amazon-backed Deliveroo. The deal is subject to shareholder and regulatory approvals.
The new company will be called Just Eat Takeaway.com N.V., headquartered in Amsterdam, Netherlands, and will create an estimated market value of more than €10 Bn. Both companies are currently listed. The new company will have a premium listing on the London Stock Exchange and some of its main operations will remain in London. The management of Just Eat Takeaway.com N.V. will be as it follows, CEO role will be taken by Jitse Groen, currently CEO of Takeaway.com, and CFO role will be taken by Paul Harrison, currently CFO of Just Eat. Following the completion of the deal, Just Eat shareholders will be entitled to receive 0.09744 Takeaway.com shares in exchange for each Just Eat share. The ownership of Just Eat Takeaway.com N.V. will be divided as Just Eat would own approximately 52.2% of the new company and Takeaway.com will own the remaining 47.8%.
The two companies believe that Just Eat Takeaway.com N.V. will have a compelling strategic logic which will give them the opportunity to build on strong individual platforms with potential to deliver substantial benefits to respective shareholders, consumers, employees, and other stakeholders. For 2018 the two companies have made altogether 360 million orders which were worth €7.3 Bn.
Takeaway.com is Amsterdam-based leading online food delivery marketplace, focused on connecting consumers and restaurants in 9 European countries and Vietnam. The company was established in 1999 and employs more than 300 people. For 2018 company’s revenue rounded up to €232 M. Through Takeaway.com’s platform, customers can order food online from restaurants’ menus, and have it delivered by the restaurants directly to their home. Merging together with Just Eat will give Takeaway.com the opportunity to expand its business with wider network of restaurants and drivers. The potential deal fits in with Takeaway.com’s acquisition strategy, which has seen it buy a total of 19 companies since its launch.
Just Eat is a London-based online food order and delivery service provider launched in 2001. The company operates in 13 countries in Europe, Asia, Oceania, and America and reached 26.3 million customers in 2018 with 3.600 employees worldwide. Just Eat’s platform enables customers to choose food from local take-out restaurants, pay online and receive it directly at their door.