Tuesday, August 16, 2022
HomeUncategorizedJust Eat Takeaway is going to sell Grubhub

Just Eat Takeaway is going to sell Grubhub

Just Eat Takeaway bought Grubhub is now looking for full or partial buyers. As a result, the European food delivery giant is facing heavy pressure to make serious decisions.

The delivery giant confirms by stating,” confirms its alignment with shareholders in wanting to both create and realize value from the Company’s highly attractive portfolio of assets… such, management is currently, together with its advisers, actively exploring the introduction of a strategic partner into and/or the partial or full sale of Grubhub.”

The Just Eat Takeaway can’t guarantee the chances of such approval. They will be coming with a further announcement.

The company continuously faced prominent shareholders in divesting decisions. Just Eat Takeaways acquired Grubhub for $7.3 billion last year. It topped the betting from Uber and Delivery Hero (Germany).

The activist investor Cat Rock asked Just Eat Takeaway to sell Grubhub. It also refused its business in Europe. He accounts for 6.5% part of the company.

The company recorded a 7% rise in its shares. It was after the interest to see Grubhub. However, the European giant is not the only one doing badly in the stock market. Delivery Hero records a 73% drop in its share than last. At the same time, 56% share price of Deliveroo tanked.

The pandemic had changed consumer habits. They are focusing more on home fitness and streaming service.

Netflix also sees a drop in its subscribers. It lost paid users.

Just Eat Takeaway records a loss of 7.2 billion euros. It was in the first quarter. The overall number of orders also decreased to 1%. It is 264.1 million now.

There were also revisions in the guidance for 2022. The company expects to grow in terms of mid-single-digit year-on-year.

The company expects its profits to improve slowly in the coming months. They will reach a positive EBITDA. The priority is to sit at enhanced profitability. Just Eat Takeaway is going to come out of the current situation stronger.

RELATED ARTICLES

Most Popular