just-eat-backs-takeaway.com’s-final-bid-in-food-fight

Just Eat backs Takeaway.com’s final bid in food fight

Tech

LONDON (Reuters) – Just Eat (JE.L) backed a final offer from Takeaway.com (TKWY.AS) and rejected a rival cash bid from Prosus (PRX.AS) on Friday, saying the combination with Takeaway would create one of the leading online food delivery companies in the world.

Takeaway and Prosus both made increased final bids for the British company on Thursday, with Takeaway’s all-share offer trumping Prosus’ 800 pence-a-share offer, based on its current share price.

Amsterdam-listed Takeaway has received valid acceptances and commitments for its offer from the holders of 46% of Just Eat’s equity, putting it within touching distance of the 50% plus one share it needs to beat Prosus.

It sweetened its bid to give Just Eat shareholders about 57.5% of the combined group, implying a 916 pence value for each Just Eat share, based on Takeaway’s closing share price of 88.90 euros on Wednesday, the day before it raised its bid.

Takeaway’s shares have fallen since, but the 78.5 euro level they were trading at on Friday still puts its bid slightly ahead, with an implied value of 809 pence a share.

Reporting by Paul Sandle; Editing by David Clarke