The online meal delivery provider, Deliveroo, has selected London for a planned stock listing. UK government’s stock listing rules reform allows founders to keep more control over key decisions.
In January, the company raised $180 million (£130m) in fresh funding at a $7bn (£5bn) valuations. The investment from existing shareholders was backed by Amazon, Durable Capital Partners, Fidelity, T. Rowe Price, General Catalyst, Index Ventures and Accel. Deliveroo yet not announced the price information for its initial public offering.
London-based, Deliveroo was founded by Will Shu in the year of 2013. He was the first rider when they started operating in Chelsea, West London. In the last 8 years, Deliveroo has been rapidly growing and expanding its meal delivery services in two hundred cities in the UK and the Netherlands, France, Belgium, Ireland, Spain, Italy, Australia, Singapore, United Arab Emirates, Kuwait and Hong Kong.
Leveraging the UK’s economy
The independent analysis says that Deliveroo supported 46,700 jobs in the UK, including 38,300 in the restaurant sector since its launch in the year 2013. There are thousands of riders who are associated and have worked for Deliveroo and are contributing to the UK’s economy.
Eyeing on rapid growth and expansion
The limited-time dual-class share structures provide Deliveroo more control over key management decision-making towards the company’s long-term strategic vision. The dual-class share structure limited to three years, after which the company will move to a traditional single-class share structure.
Rishi Sunak, the Chancellor said: “The UK is one of the best places in the world to start, grow and list a business – and we’re determined to build on this reputation now we’ve left the EU. That’s why we are looking at reforms to encourage even more high growth, dynamic businesses to list in the U.K.”
“So it’s fantastic that Deliveroo has taken this decision to list on the London Stock Exchange. Deliveroo has created thousands of jobs and is a true British tech success story. It is great news that the next stage of their growth will be on the public markets in the U.K.”
Will Shu, CEO of Deliveroo, said: “Deliveroo was born in London. This is where I founded the company and delivered our first order. London is a great place to live, work, do business and eat. That’s why I’m so proud and excited about a potential listing here.”
“At Deliveroo we want to be the definitive food company, bringing consumers the best choice of foods, giving restaurants new opportunities to grow their businesses, and providing riders with great work. We are always focused on developing the best proposition for consumers, restaurants and riders and look forward to bringing our service to new parts of the UK as we continue to grow.”