Just Eat Takeaway.com announces its decision to delist from the London Stock Exchange, prioritizing cost efficiency and regulatory considerations.
- The company cites high costs and administrative burdens as reasons for leaving the London Stock Exchange.
- Most of its trading volume occurs on the primary listing venue, Euronext Amsterdam.
- The UK remains a key market despite the delisting, showcasing Just Eat’s commitment to this region.
- Just Eat recently sold its U.S. business Grubhub, reflecting strategic shifts.
Just Eat Takeaway.com has revealed its plan to withdraw from the London Stock Exchange listing, a move motivated by the aim to enhance cost efficiency and minimize administrative burdens associated with maintaining multiple listings. The decision underscores a strategic pivot towards concentrating trading where it most significantly impacts, which is primarily at Euronext Amsterdam, where the majority of its trading volumes occur.
Originally, when Just Eat merged with Takeaway.com in 2020, there was a consideration to discontinue its Dutch listing. Yet, following their exit from the U.S. market in 2022, they maintained their presence both in London and Amsterdam. However, current business realities have necessitated reevaluation, leading to the upcoming delisting from London.
Despite the decision to delist, Just Eat remains committed to the UK market. A company spokesperson emphasized that the UK continues to hold strategic importance as it is home to many talented employees and a broad network of grocery and restaurant partnerships. Nearly the entire UK population, 97%, is covered by Just Eat’s service network, indicating the depth of its market penetration.
The divestiture of Grubhub for $650 million, which ends their U.S. endeavor at a substantial financial loss from its initial purchase cost of $7.3 billion, demonstrates Just Eat’s intent to realign its global operations. This sale marks a decisive step in refocusing the company’s resources towards markets where it perceives greater potential for growth and leadership.
Just Eat’s exit from the London Stock Exchange reflects strategic decisions aimed at optimizing resources and focusing on profitable markets.
