Prosus (AS:PRX) announced plans on Monday to acquire Just Eat Takeaway (AS:TKWY), marking a major expansion into the European food delivery industry. The all-cash deal values Just Eat at €4.1 billion ($4.3 billion), offering a 63.3% premium to its Friday closing price.
Market Reaction and Analyst Takeaways
? Just Eat Takeaway shares surged over 53% in Amsterdam following the announcement.? Prosus stock fell nearly 7%, reflecting investor skepticism about food delivery consolidations.
? Citi Analysts: Warned of historical struggles in food delivery mergers.? RBC Capital: Noted the possibility of a counteroffer, but emphasized Prosus’ strong bid.
Strategic Impact: Why Prosus Wants Just Eat
? European Expansion: Prosus already holds stakes in Delivery Hero (ETR:DHER), iFood, and Swiggy and aims to strengthen its footprint in Europe.? Support from Just Eat CEO: Jitse Groen welcomed the deal, citing Prosus’ resources to fuel growth in food, groceries, and fintech.? Delivery Hero Gains: The news also boosted Delivery Hero stock by over 7%, reflecting optimism in the sector.
What’s Next?
? Will There Be a Counteroffer? Given the 60%+ premium, competing bids seem unlikely but can’t be ruled out.? Regulatory Approvals: The deal will require antitrust review, but Prosus’ existing stake in Delivery Hero might help streamline approval.? Investor Sentiment: Prosus must convince shareholders that this acquisition will drive profitability, given past struggles in food delivery investments.
? If successful, this will be one of the largest European M&A deals of 2025, reinforcing Prosus’ bet on the future of food delivery.
