Just Eat Takeaway starts action against Delivery Hero over share stake

Online food delivery company Just Eat Takeaway on Monday said it had started arbitration proceedings against German rival Delivery Hero, claiming it broke a standstill deal on lifting its stake.

Delivery Hero in February said it had entered into a forward share purchase of 8.4m shares in Just Eat Takeaway for €798m (£687m), financed by an equity collar transaction.

The standstill was agreed when Delivery hero's German business was sold to Takeaway.com last year.

“Delivery Hero's failure to comply with its standstill undertaking constitutes a breach of the relationship agreement,” the company said in a statement on Monday.

“Takeaway.com regrets that it now needs to initiate arbitration proceedings with the International Chamber of Commerce to enforce Delivery Hero's standstill undertaking. It will inform the market about the outcome in due course.”