December 5, 2017 / 6:57 PM / 2 years ago

Delivery Hero to place up to $810 million worth of shares

FILE PHOTO - The Delivery Hero headquarters is pictured in Berlin, Germany, June 2, 2017. The Berlin-based company Delivery Hero, one of Europe's largest internet start-ups. Picture taken June 2, 2017. REUTERS/Fabrizio Bensch

(This December 5 story has been corrected to show that the exact number of shares had not yet been set)

FRANKFURT (Reuters) - Delivery Hero, the world’s largest online takeaway food delivery group, said on Tuesday it would offer shares worth up to 686 million euros ($810 million) to investors, raking in cash to expand its business through takeovers.

“Delivery Hero continues to see an increased level of attractive M&A opportunities and, in line with its strategy, looks to further consolidate its market leadership positions and pursue value accretive M&A,” it said in a statement.

It said it would place a total of up to 18.3 million shares, worth up to 686 million euros based on Tuesday’s closing price, of which up to 10.5 million will be issued via a capital increase.

Separately, a group of minority shareholders, which the company did not identify, will place up to 7.8 million shares.

It was unclear whether German investor Rocket Internet, which in September had halved its stake in Delivery Hero to 13 percent, is among them.

Operating in more than 40 countries in Europe, the Middle East, North Africa, Latin America and Asia, Delivery Hero was one of several online food delivery firms to go public in recent years. Others include U.S.-based GrubHub, Britain’s Just Eat and

Delivery Hero’s shares closed down 3.2 percent on Tuesday at 37.5 euros, but up about 40 percent since the company’s initial public offering in late June.

Reporting by Christoph Steitz; Editing by Edmund Blair

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