Grubhub founder considered buying back company from Just Eat - report
Just Eat Takeaway.Com N.V. (CDI)
888.00p
08:10 05/11/24
Just Eat Takeaway shares surged on Monday as it emerged the founder of Grubhub had teamed up with US private equity firm General Atlantic in an attempt to buy back the company he sold to Just Eat for $7.3bn last year.
Software & Computer Services
2,405.31
08:10 05/11/24
According to The Times, Matt Maloney - who co-founded the takeaway firm in 2004 - is understood to have been working with the TikTok-investor earlier this year on taking back control of Grubhub.
Sources said they had ultimately decided against making a bid. However, Just Eat Takeaway shares have plunged since then, raising the prospect of a return.
Just Eat Takeaway, which was formed in 2020 through the merger of UK-based Just Eat and Dutch rival Takeaway.com, completed the all-share deal to buy Grubhub last June. However, amid pressure from investors to offload it and simplify the group, and after receiving unsolicited takeover approaches Just Eat said in April that it was "actively exploring the introduction of a strategic partner and/or a partial or full sale of Grubhub".
The Times said it was not known whether these takeover suitors included General Atlantic.
It was understood that Just Eat Takeaway has now hired advisers from Bank of America to find a buyer or strategic partner for Grubhub. However, sources said expectations for the sale had been cut to as little as £1bn after it failed to attract any serious interest from strategic buyers.
At 1210 BST, the shares were up 11% at 1,895p.