Just Eat Takeaway’s share price has lost over 70% of its value since September (Gareth Fuller/PA)
(Picture: PA Archive)The shock departure of two Just Eat Takeaway execs was announced today just hours before the start of the company’s AGM.
The company’s COO will not seek re-election to the management board following a misconductcomplaint against him. Just Eat’s chairman is also departing following soured relations with shareholders.
The fast food delivery service said a formal complaint was made to the board regarding personal misconduct by COO Jörg Gerbig at a corporate event. Just Eat wouldn’t comment on details of the allegation, the nature of the misconduct or where it took place, citing privacy concerns.
“The company has initiated an investigation into the allegations in line with the company’s Speak Up Policy and will engage an external expert to conduct the investigation,” Just Eat said. “As the investigation is in its initial stage, no conclusions have been drawn.”
Just Eat’s supervisory board has pulled a shareholder vote on re-electing him to the board and management team pending the outcome of the investigation, meaning he will cease to be part of the management team following today’s AGM.
Gerbig is cooperating with the investigation and could seek re-election if he is cleared, the company said. He has “full confidence in the outcome.”
Gerbig co-founded German takeaway business Lieferando.de and joined Just Eat when it acquired his business in 2014.
Separately, Just Eat chairman Adriaan Nühn today announced his departure.
He said: “It is clear that shareholders have concerns about the challenges the company is facing.
“Not seeking re-election is, I believe, the best decision I can take with regard to serving the interests of the company and its stakeholders, including its shareholders.”
Just Eat has recently come under fire from shareholders, amid a 70% slide in its share price since September.
Activist investor Cat Rock Capital, a major shareholder, has been lobbying Just Eat to spin-off its recently acquired US business GrubHub, complaining of “a complete loss of trust in the Management and Supervisory Boards’ capital allocation and financial management.”
In April, the food delivery business said it was considering a sale of GrubHub, less than a year after completing a $7.3 billion acquisition.
A spokesperson said: “We understand and share the concerns that have been raised by our shareholders. We are working hard to address them with proposed actions that management is confident will position Just Eat Takeaway.com for continued success going forward.”
The company raised eyebrows for organising a recent company ski holiday in the Swiss Alps costing as much as £13 million, according to reports by Bloomberg.
