(ABM FN-Dow Jones) The price pressure at Just Eat Takeaway is not good and work has been done to make the company better. This is what CEO Jitse Groen of Just Eat Takeaway said in the TV program on Sunday Business Class.
“It is not good for a price to be low, […] you want the price to be high,” said Groen.
In conversation with Harry Mens, Groen said that his company has grown seven times larger during the corona pandemic.
The company has therefore “substantially invested” […] I think the time was right for that,” said Groen.
Groen made two major acquisitions, first with Just Eat in the UK and then Grubhub in the US.
“We try [bij overnames] make the companies bigger and better,” said the CEO.
Last week, Just Eat announced that it would only continue with the listing in London and Amsterdam and to give up the American listing.
The latter is “not necessarily” a harbinger of stopping Grubhub, Groen said.
According to Groen, the costs for the American listing do not outweigh “a tiny bit of liquidity”. According to the CEO, the trading volumes are in Europe and not in the US. “This [opgeven Amerikaanse notering] is a cost reduction measure,” emphasized Groen.
He called the Amsterdam stock exchange the best listing, referring to the gong at the IPO. In London “it’s behind plexiglass”.
But in the meantime, Just Eat Takeaway is working to make Grubhub better, according to Groen.
“We think that you can only earn a lot of money in this sector with very large dominant positions,” says Groen. “And it shows now.”
In the US, Grubhub is not number one. And Groen believes that Grubhub must therefore grow, to be able to earn money, for example, just like in the Netherlands.
“We have quite a few conversations in the US about Grubhub,” said Groen.
Groen noted that Just Eat has doubled in a year after the acquisition, with profitability in sight.
iFood still wants to sell Groen. He is a “financial shareholder” there with an interest of approximately one third. For the time being, however, no bid has been made that is considered sufficient by Just Eat Takeaway.
Groen said he did not expect to make any new acquisitions. It is already active in all markets that the company considers interesting.
“I want to build a very strong company,” said Groen, and not necessarily a very large company.
And according to Groen, Just Eat Takeaway is a very strong company.
“In terms of profit, we are much better positioned than our colleagues.”
Bron: ABM Financial News
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From Beursplein 5, the editors of ABM Financial News keep a close eye on developments on the stock exchanges, and the Amsterdam stock exchange in particular. The information in this column is not intended as professional investment advice or as a recommendation to make certain investments.
