European Commission Approves Naspers’ Acquisition of Just Eat Takeaway.com
The European Commission has sanctioned the €4.1 billion acquisition of Just Eat Takeaway.com (JET) by Naspers, executed via its investment division, Prosus. This approval comes following Naspers’ commitment to implement measures aimed at reducing its influence within Europe’s food delivery sector.
Strategic Shareholding Adjustments in Delivery Hero
Prosus currently possesses a substantial minority stake in Delivery Hero, a leading food delivery firm active in markets like Austria, Bulgaria, Italy, Poland, and Spain. Delivery Hero operates notable brands including Glovo, Foodora, and efood, which are widely recognized in these regions.
Regulatory Measures to Ensure Competition
The European Commission outlined that the proposed actions by Naspers were essential to prevent the conglomerate from exerting considerable influence over two significant contenders in the food delivery market. This influence could potentially undermine competition and adversely affect consumer welfare.
Naspers’ Commitment to Reduce Shareholding
To alleviate the Commission’s concerns, Naspers agreed to drastically lower its shareholding in Delivery Hero to below a pre-defined minimal percentage within a 12-month timeframe. Additionally, the company committed to a series of further obligations aimed at fostering competition within the sector.
Significance of Regulatory Oversight in Mergers
The European Commission’s responsibility includes evaluating mergers and acquisitions involving firms that surpass specific revenue thresholds. This oversight is vital in maintaining a competitive marketplace that benefits consumers.
Critical Issues in the Food Delivery Market
The food delivery sector has been under scrutiny, particularly after the European Commission imposed a €329 million fine on Delivery Hero and Glovo in June 2025 for cartel-like behaviors, which allowed them to coordinate pricing without enhancing service offerings. This incident underscored the regulators’ anxiety regarding market manipulation by fewer dominant players.
The Growing European Online Food Delivery Market
With a valuation in the tens of billions annually, the European online food delivery market has experienced exponential growth following the pandemic, becoming an essential component of urban economies. The concentration of power among a few major entities raises concerns about pricing structures, restaurant commissions, and courier remuneration.
Implications for Future Mergers and Market Dynamics
Given the significant fine previously levied against key industry players, it is clear that collaborating within the market poses real risks. The European Commission’s requirement for a substantial divestiture of shares during a Phase I review highlights an increasing resolve to prevent digital platform consolidation. This move indicates a proactive approach to preserving competition in markets where only a handful of companies hold a dominant position across the European landscape.
