Thuisbezorgd parent Just Eat Takeaway to sell iFood stake for €1.5 billion; Shares up 29%

Meal delivery company Just Eat Takeaway announced it will sell its stake in Brazilian delivery company iFood to Prosus. The Amsterdam-listed company and parent of Thuisbezorgd.nl, will earn a minimum amount of 1.5 billion euros for the 33 percent of the shares it owns. Performance can lead to an additional 300 million euros being added to the final sale price.

It sent the stock price of Just Eat Takeaway soaring in Friday morning trading. Shares were up dramatically on the Amsterdam stock exchange as investors reacted enthusiastically. Just Eat Takeaway shot up about 29 percent in early trading.

The company, which has seen its share price fall sharply this year, had previously said it wanted to get rid of the iFood shares, but only if the amount was right. An earlier offer of 2.3 billion euros was rejected. But with no further bids, Just Eat Takeaway has now agreed to accept a lower price. The company also reiterated that it will continue to actively pursue a full or partial sale of its US subsidiary Grubhub. Prosus, which is buying its 33 percent stake in iFood through its Moville business, climbed 1.2 percent.

Just Eat Takeaway will use the proceeds to strengthen its balance sheet and repay debt. The deal is still subject to shareholder approval.

Overall, the AEX index in Amsterdam was 0.4 percent lower in morning trade at 723.31 points. The MidKap fell 0.7 percent to 962.92 points. The stock exchanges in London and Paris saw losses of up to 0.2 percent. The DAX in Frankfurt remained flat. In Germany, the prices that manufacturers charge for their products rose by more than 37 percent in July compared to a year ago.

Real estate group Unibail-Rodamco-Westfield saw the biggest morning fall on the AEX with a loss of 1.8 percent. The chip companies ASMI, Besi and ASML, which were among the strongest risers on Thursday, lost 1.1 percent. Adyen also fell further. The payment company dropped 3.7 percent a day earlier after disappointing results.

In the MidKap, stainless steel maker Aperam was in the red by more than 3 percent on Friday morning. Pharmacy company Fagron led the scarce few companies showing gains with an increase of 0.4 percent.

For bicycle manufacturer Accell (minus 0.1 percent) it is the last trading day on the Damrak. The company behind brands such as Batavus and Sparta is being taken over by a group of investors led by the American firm KKR. It will then delist from the stock exchange.

The euro was worth USD 1.0081, against USD 1.0117 a day earlier. A barrel of US oil fell 1 percent in price to $89.63. Brent oil also fell 1 percent, at $95.67 a barrel.