LONDON Dec 15 Online food delivery company Just
Eat has agreed to buy rivals hungryhouse in Britain and
SkipTheDishes in Canada, spending more than $300 million to
strengthen its leading position in both markets.
The London-listed company said it would pay an initial 200
million pounds ($251 million) to buy hungryhouse from Delivery
Hero, a Berlin-based company backed by Rocket Internet
, plus an additional 40 million pounds based on
Hungryhouse is an online food company operating solely in
the UK. Just Eat said the deal is expected to boost its earnings
per share (EPS) in the first full year of ownership.
In Canada, Just Eat said it would pay an initial C$110
million ($66.1 million) cash for SkipTheDishes, a delivery
platform focused on lower density metropolitan and suburban
areas which has 2,900 restaurants listed and 350,000 active
Just Eat said it expects the deal, net of one-off
exceptional costs, to be moderately dilutive to earnings per
share in 2017 and 2018 before becoming EPS accretive thereafter.
($1 = 0.7973 pounds)
(Reporting by Paul Sandle; editing by Jason Neely)