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Food & drink

DP Eurasia soars on takeover bid from Indian franchisee

DP Eurasia N.V. (LSE:DPEU), the Domino’s Pizza master franchisee for Russia, Turkey, Azerbaijan and Georgia, rallied 22% after it received a takeover bid from Jubilant FoodWorks.

Jubilant FoodWorks’ Dutch division will make a purchase offer of 85p for each of the remaining DP Eurasia shares, representing a 24% premium to the group’s share price on Monday.

Close to 49% of DP Eurasia’s shares are already owned by the Indian franchisee and the remaining shares are expected to cost almost £64 million, valuing the entire group at £124.6 million.

Jubilant is the master franchisee of Domino’s in India, Sri Lanka, Nepal and Bangladesh; Dunkin Donuts in India; and Popeyes in India, Nepal, Bangladesh and Bhutan.

In the first three quarters of DP Eurasia’s financial year, it saw sales rise almost 38% and has backed guidance for the full year.

Shares in the London-listed group are now sat at 84p, having closed at 70p on Monday.

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