Prosus may increase Delivery Hero stake to block Uber takeover: FT

• Prosus currently holds a 16.83% stake in Berlin-based Delivery Hero and is exploring ways to acquire additional shares from existing investors
• The stake increase strategy is designed to prevent Uber from acquiring Delivery Hero
• Prosus has been in discussions with other Delivery Hero shareholders about the price at which they would be willing to sell their holdings

Summary

Key Development: Prosus is considering increasing its stake in Delivery Hero to prevent a potential takeover by Uber, according to the Financial Times. The investment firm has reportedly engaged with other Delivery Hero investors to discuss pricing for potential share purchases.

Current Holdings: Prosus currently holds a 16.83% stake in the Berlin-based food delivery company, according to LSEG data.

Companies Involved:

• Prosus: Investment company exploring defensive stake increase
• Delivery Hero: Germany-based food delivery platform and potential takeover target
• Uber: Reportedly attempting a takeover of Delivery Hero

Market Implications: This development highlights ongoing consolidation pressures in the food delivery sector, where scale and market dominance are increasingly critical for profitability. A blocking stake by Prosus could significantly complicate Uber's expansion strategy in European food delivery markets and prevent further industry consolidation.

Company Responses: Delivery Hero declined to comment on the report, while Prosus did not immediately respond to requests for comment, leaving speculation about the timeline and ultimate size of any potential stake increase.

Strategic Context: The move reflects Prosus's desire to protect its investment and maintain influence over Delivery Hero's strategic direction. An increased stake would give Prosus greater control and potentially blocking rights against unwanted takeover attempts, particularly from major competitors like Uber seeking to expand their global food delivery footprint.

The situation remains fluid as of June 1, with no official confirmation from the involved parties.