By Kyle Morris
Just Eat Takeaway.com NV said Friday that it has agreed to sell its around 33% stake in the iFood joint venture to Prosus NV for up to 1.8 billion euros ($1.82 billion) as it looks to focus on improving profitability and on a disciplined capital allocation.
The Amsterdam-based food-delivery group /zigman2/quotes/201653805/delayed NL:TKWY +0.14% /zigman2/quotes/216303066/delayed UK:JET +1.16% said the amount comprises EUR1.5 billion in cash on closing and a deferred consideration based on the performance of the online food delivery sector over the next year of up to EUR300 million.
Prosus /zigman2/quotes/214038022/delayed NL:PRX +2.53% , a global consumer internet group, said that the transaction to acquire the remaining stake in Latin American online food and delivery platform iFood will be funded from existing cash resources.
“We are excited to continue to be a supportive and active partner for iFood as the company steps into its next phase of innovation and growth,” Prosus Chief Executive Bob van Dijk said. “Increasing our stake to full ownership is a demonstration of our committed and disciplined approach to investment and reflects our confidence in the long-term potential of iFood.”
Just Eat Takeaway.com also reconfirmed its guidance for 2022 of gross transaction value to grow by mid-single digit on year and an adjusted earnings before interest, taxes, depreciation and amortization margin in the range of minus 0.5% to minus 0.7% of GTV.
Just Eat also said it continues to explore the partial or full sale of Grubhub.
The sale of iFood is expected to complete in the fourth quarter of 2022, subject to shareholder approval.
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