UK: Just Eat shareholder alleges foul play behind Prosus bid

A bidding war for Just Eat has sparked a major row between an aggressive US hedge fund and takeaway rival Delivery Hero, reported Reuters. 

The battle to buy the firm descended into acrimony as Connecticut-based Cat Rock accused Delivery Hero of deliberately seeking to scupper Just Eat’s £9 billion (US$11.6 billion) merger with a third delivery company, Takeaway.com.

This was part of an orchestrated campaign to drive Just Eat into the clutches of a hostile bid by tech giant Prosus, Cat Rock claims.

Just Eat shareholder Cat Rock on Monday, October 28, alleged that Delivery Hero, which is 22% owned by Prosus, had been selling down its 13% stake in Takeaway shares to keep them artificially suppressed and lower the attractiveness of Takeaway’s offer. 

“Delivery Hero structured its share sales in a bizarre and uneconomic fashion that seems deliberately intended to depress Takeaway.com’s stock price in the run-up to the shareholder vote on a merger with Just Eat,” which is scheduled for December 4, Cat Rock stated.

Full Content: Reuters

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