iFood becomes fully controlled by Prosus
Dutch investor Prosus buys a 33.3% stake in iFood through investor Movile; delivery giant valued at up to R$28bn
The largest delivery application in Brazil, iFood now belongs entirely to Dutch company Prosus. It bought 33.3% of the company and owns 100%. The 33.3% stake belonged to minority shareholder Just Eat Takeaway. Movile made its first investment in iFood in 2013 and has controlled the company since 2014.
With these figures, the delivery company is valued between R$23 billion and R$28 billion.
Movile won its first investment from Prosus in 2013. In August 2021, it received its largest contribution in history: R$ 1 billion to accelerate the growth of iFood and other startups of the group, such as MovilePay.
iFood dominates delivery in Brazil
The company currently has 330,000 partner establishments, among restaurants and markets, 200,000 delivery drivers, over 40 million consumers, 70 million monthly orders and presence in 1,700 Brazilian municipalities.
The company’s dominance has already been questioned several times by regulatory authorities. When leaving the delivery of ready meals business, Uber Eats mentioned, in notification to the Administrative Council for Economic Defense, this fact as one of the reasons for the decision.
Just Eat reduced amount requested for share
Just Eat reduced amount requested for share iFood’s minority stake was held by Just Eat Takeaway, a Dutch company that has GrubHub among its brands. The company says it rejected an offer of $2.3 billion for its stake in 2021. However, the company saw a 7% drop in order volume in the first half of 2022 compared to the same period a year earlier.
iFood’s owner is also a shareholder of Tencent
According to a report in Valor Economico, Prosus is the international investment subsidiary of the Naspers group. Its capital went public in September 2019, and its current market value is around 132.1 billion euros.
In addition to Movile, Prosus has investments in Brazilian companies such as Creditas, Kovi and OLX. It is also the largest shareholder in Tencent, the Chinese company that owns messaging app WeChat and Riot Games.