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The vast majority of votes cast by MyDeal.com.au (ASX: MYD) shareholders at a meeting today were in favour of Woolworths’ (ASX: WOW) $218 million bid to acquire 80 per cent of the e-commerce operator.
At the scheme meeting, 88 per cent of shareholders present voted in favour of the deal, while 99.89 per cent of total votes cast were in favour of the deal which gives MyDeal an equity value of $271.8 million.
The implementation of the deal remains subject to approval from the court during a hearing scheduled for 13 September.
In the event the takeover becomes effective, MyDeal shares will be suspended from trading on the ASX from the close of trading on 14 September, and the scheme will be implemented on 23 September.
As such, founder and CEO Sean Senvirtne - who owns almost half the company - will walk away with more than $77 million once he divests 60 per cent of his current stake.
Post-merger, Senvirtne will retain 18.9 per cent of the company, while fellow executives Kate Dockery (a founding MyDeal member and Senvirtne’s partner) and Dean Ramler will retain 0.5 per cent and 0.4 per cent in MYD respectively.
In addition, the MYD key management team will continue to lead the business in partnership with Woolworths, with Senvirtne to keep his job as CEO of the e-commerce retailer.
Founded in 2011 and listed on the ASX in 2020, Melbourne-based MYD is one of Australia’s leading online marketplaces hosting approximately 1,900 sellers offering more than six million products with a particular focus on furniture, homewares, and everyday items.
The company boasts more than one million active customers, and generated $260 million in gross transaction value in the 12 months to 31 March 2022.
“The addition of MyDeal to Woolworths Group represents a further step towards delivering a more holistic customer experience in food and everyday needs and materially expands our marketplace capabilities, especially in general merchandise,” WOW CEO Brad Banducci said when the takeover was announced in May.
Shares in MYD are up 0.19 per cent to $1.05 per share at 3.13pm AEST, while shares in WOW are up 0.16 per cent to $37 per share.
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