Daily Management Review

UK food delivery service Deliveroo aims to raise £8bn during IPO


British food delivery service Deliveroo has announced that it will conduct its initial public offering on the London Stock Exchange (LSE).

Albert Bridge
Albert Bridge
The company was founded in 2013 in London by Taiwanese-born American William Shu. The company now operates not only in the UK, but also in the Netherlands, France, Belgium, Ireland, Spain, Italy, Australia, New Zealand, Singapore, Hong Kong, UAE and Kuwait. Among Deliveroo's investors is the US internet giant Amazon, which has invested in the company $575m.

The Deliveroo service could be valued at £8bn in an IPO, according to media estimates citing recent rounds of fundraising. No exact timing of the IPO has been reported, with it expected to take place in the first half of the year. 

The flotation could be one of the largest in Europe this year and the largest in the UK. For the LSE this placement will also be important because after the Brexit there has been an outflow of securities from the London Stock Exchange to the exchanges in continental Europe. For example, in January the Amsterdam stock exchange surpassed the London stock exchange in terms of trading volume for the first time in recent history. Compared to December, securities turnover on the LSE dropped sharply, while in Amsterdam it quadrupled.

source: ft.com