British meal delivery Deliveroo goes to the London Stock Exchange. The rumours of the company’s IPO had been in the air for some time.
The meal delivery company was valued at more than $7 billion by investors during a financing round in January. This has led to a significant increase in the value of the company in a few years. In 2017, the rival of Just Eat Takeaway (TKWY.AS) was awarded a price tag of $ 2 billion.
The recent round of financing by existing shareholders raised $ 180 million for investment in growth and innovation. For example, the company wants to expand further with delivering messages.
In the UK, Deliveroo started a shopping service last year and has since grown rapidly due to the coronavirus crisis. The lockdowns also do good business with meal delivery. Last year, Amazon (AMZN) also took a large minority stake in Deliveroo.
The company, which was founded in 2013, will have a so-called ‘dual class’ share structure on the stock market listing, with the founders having more control over voting than other shareholders. According to Deliveroo’s CEO Will Shu, this will provide more stability in the implementation of the plans for the longer term.