EDITORIAL: Stakes are high for Prosus in food delivery business deal

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CEO Bob van Dijk is excited about possible acquisition of British food delivery business Just Eat

A Prosus flag is displayed ahead of the trading debut of the new Prosus unit of Naspers, outside the Amsterdam Stock Exchange on September 11. Picture: BLOOMBERG/JASPER JUINEN.

Prosus CEO Bob van Dijk would beg to differ. The acquisition of Just Eat offers an, unlikely to be repeated, opportunity to establish a near-unassailable position in the global online food delivery business. “In terms of opportunity, the food space is very, very, very large,” Van Dijk told journalists recently, adding with typical hi-tech hyperbole, “It’s probably the largest opportunity I’ve run into in my lifetime.

The good news for Prosus’s shareholders is that Just Eat, which works with about 100,000 restaurants globally of which nearly 30,000 are in the UK, offers the considerable advantage of being a profit generator; for the six months to end-June it reported pretax profit of £800,000 on revenue of £464.5m.

 

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