What's happened
Just Eat Takeaway has announced its decision to delist from the London Stock Exchange, effective December 27, 2024. The move follows the sale of its US subsidiary Grubhub at a significant loss and aims to reduce administrative burdens and costs associated with maintaining a secondary listing in London.
Why it matters
What the papers say
According to Joanna Partridge in The Guardian, Just Eat's decision to delist is a 'further blow to the UK’s international financial standing,' emphasizing the administrative challenges of maintaining a London listing. Anna Wise from The Independent echoed this sentiment, noting that the company aims to alleviate costs and complexity associated with its dual listings. Nils Pratley, also from The Guardian, pointed out that the delisting is not a sign of a company fleeing for better valuations but rather a rational decision based on operational efficiency. This perspective is crucial as it frames Just Eat's exit within the broader context of the LSE's struggles with attracting and retaining companies.
How we got here
Just Eat's decision comes after a tumultuous period marked by the pandemic's impact on food delivery and a failed acquisition of Grubhub in 2021. The company has been reassessing its market presence and operational costs, leading to this delisting.
Common question
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Why is Just Eat Delisting from the London Stock Exchange?
Just Eat Takeaway's decision to delist from the London Stock Exchange has raised eyebrows among investors and analysts alike. This move, effective December 27, 2024, follows the sale of its US subsidiary Grubhub at a significant loss. Understanding the reasons behind this decision can help investors gauge the future of Just Eat and its operational strategies.
More on these topics
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London Stock Exchange is a stock exchange in the City of London, England. As of April 2018, London Stock Exchange had a market capitalisation of US$4.59 trillion. It was founded in 1571, making it one of the oldest exchanges in the world.
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Just Eat Takeaway N.V., and created originally under its Dutch name Thuisbezorgd.nl, is a Dutch dot-com company specialising in online food ordering and home delivery.
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Grubhub Inc. is an American online and mobile prepared food ordering and delivery platform that connects diners with local restaurants. The company is based in Chicago, Illinois and was founded in 2004.