Online takeaway food delivery service Just Eat has struck a deal to buy Menulog, a similar company operating in Australia.

The deal will be funded by issuing new shares and will cost 855 million Australian dollars (£437 million).

Menulog has 1.4 million active consumers registered to its service in Australian and New Zealand.

David Buttress, CEO of Just Eat plc commented: "Since the time of our IPO last year, we have consistently stated that participating in a disciplined manner in industry consolidation was an important strategic objective for Just Eat  The acquisition of Menulog, a business with strong leadership in an attractive and fast-growing market, is fully consistent with this approach and will be an important addition to the Just Eat business. The Menulog founders have together built a great business and I look forward to working closely with Menulog's CEO and his experienced management team in the coming months."

Also commenting on the Acquisition, Dan Katz, CEO of Menulog, said: "I am very excited about the prospect of Menulog becoming part of Just Eat, which has been a real inspiration for us as we have grown in the Australian and New Zealand markets. This proposed acquisition will allow Menulog to benefit from Just Eat's experience and know-how, particularly in digital marketing, and enhance our customer service model to drive further growth and efficiencies across the business."