Shareholders of online food delivery giant Just Eat Takeaway have approved its proposed $7.3B (approx €6.1B) acquisition of US rival Grubhub but rejected a pay package for the latter’s US CEO Matthew Maloney.
Earlier this year in June, Just Eat Takeaway and US-based food delivery app Grubhub entered into a definitive agreement. Now, Just Eat Takeaway is to acquire 100% of the shares of Grubhub in an all-stock transaction – a €6.5B deal – to create the world’s largest online food delivery company outside of China with customers in 25 countries.
Takeaway founder and CEO Jitse Groen is to become head of the Takeaway-Grubhub combination, which will be based out of Amsterdam, while Grubhub CEO Maloney is set to lead its North American business.
Reportedly, Maloney was to have received a $745,000 (£577,000) base salary in 2021, with long-term stocks and options grants of up to 1,000 percent of that amount as part of a long-term incentive plan.
Grabbing Grubhub
As per the deal, Grubhub shareholders will receive American depositary receipts (ADRs) representing 0.6710 Just Eat Takeaway’s ordinary shares in exchange for each Grubhub share.
Besides, Grubhub shareholders will be entitled to ADRs upon completion of the deal, which will add up to around 30% of the combined group (on a fully diluted basis).
The combined group will be headquartered and domiciled in Amsterdam, the Netherlands, with its North American headquarters in Chicago and a significant presence in the UK.
The company anticipated the completion of this transaction to occur in the first half of 2021, in case all the conditions are satisfied.
Just Eat Takeaway recently partnered with Transavia airlines to roll out a new ‘in-flight delivery’ service, in cooperation with Amsterdam Airport Schiphol and iFleat, the restaurant specialising in delivering food for frequent flyers.
Image credits: Just Eat Takeaway
