Just Eat and Takeaway.com agree merger

Merger will create the largest food delivery company outside of China

Just Eat and Netherlands-based Takeaway.com have finalised the terms of a merger that would create the largest food delivery company outside of China.

News of the agreement, based on the deal outlined at the end of July, was released last night.

Upon completion of the deal, Just Eat shareholders will own 52.15 per cent of the enlarged group and Takeaway.com shareholders will own 47.85 per cent. The boards of the two companies claimed that the resulting combination would be "compelling", including market leadership in the UK, Germany, the Netherlands and Canada, and what they called "operating leverage" to invest in technology, marketing, and restaurant delivery services.

"The board believes that this is a compelling offer for Just Eat shareholders which will create a global leader in a dynamic and rapidly growing sector," said Mike Evans, chairman of Just Eat.

Takeaway.com CEO Jitse Groen, who will become CEO of the merged company, to be called Just Eat Takeaway.com NV, believes that the deal will spark consolidation in the sector, and pile more pressure on loss-making Uber with its Uber Eats rival.

"There is only a limited number of listed companies and ample funding for private companies," said Groen in a conference call. "However, it is a logical way forward that the companies that are going to be the biggest will acquire further businesses."

For Just Eat, the deal means that it can call off the search for a new CEO, following the departure in January of Peter Plumb. The merged company will remain based from Takeaway.com's headquarter in Amsterdam but will retain Just Eat's London Stock Exchange listing, and delist in the Netherlands. There are no plans for divestitures following completion of the deal.

Just Eat has been a regular contributor to Computing events, frequently sharing insights into the way in which the company's IT operates. These include interviews with CISO Kevin Fielder, who has revealed how Just Eat has built its security operations from the ground-up.