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Deals

Takeaway.com asks Delivery Hero to not vote on Just Eat deal

FILE PHOTO: Signage for Just Eat is seen on the window of a restaurant in London, Britain, August 5, 2019. REUTERS/Toby Melville.

(Reuters) - Online food delivery firm Takeaway.com TKWY.AS on Monday asked shareholder Delivery Hero DHER.DE to withhold from voting on its merger with Just Eat JE.L, citing a conflict of interest.

“Delivery Hero’s own market position as well as Prosus’ position as the largest shareholder in Delivery Hero in itself gives rise to a conflict of interest,” Takeaway.com said in a statement.

Internet conglomerate Prosus PRX.AS, which made an unsolicited $6.3 billion offer to buy Just Eat, is the largest shareholder in Delivery Hero with a 22.3% stake.

Before Prosus’s bid was announced, Delivery Hero began selling down its stake of 8 million shares, or 13%, in Takeaway, by 3 million shares.

(This story corrects headline and paragraph 1 to remove reference to deal value)

Reporting by Tanishaa Nadkar in Bengaluru; Editing by Aditya Soni

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