Bringing in a big non-executive name and securing big brand investors is one sure sign that a company’s floatation is imminent. Next CEO, Simon Wolfson recently taking his first non-executive role at Deliveroo, and Amazon’s acquisition of 16% of their shares both point to widespread speculation around a floatation of the Deliveroo business as accurate.
Almost as widespread as the floatation is the conjecture around possible valuations of the business, starting at circa £2 billion and rising as high as £5 billion.
Deliveroo is a member of an esoteric hospitality business club that has benefited from the Covid-19 pandemic.
Consumer demand for food delivery services grew substantially in 2020 as restaurants remained closed to visits from diners. As a consequence, adoption of the home delivery model by consumers and restaurants is now years ahead of where Deliveroo and other food delivery providers could even have dreamt of in 2019.
In 2019 Deliveroo reported losses of £320 million. Then 2020 saw the business more than double revenues and transfer that income to profitability.
Deliveroo’s founder is Will Shu who set up the business in classic internet entrepreneurial start up style. While working as an investment banker in 2013, Shu created and launched Deliveroo from his bedroom in London. Fast forward eight years and the business now works with more than 140,000 restaurants around the world.
Doubtless Shu alongside other shareholders will be looking forward to Deliveroo’s imminent delivery of floatation.
Hospitality & Catering News: Deliveroo’s imminent delivery of floatation. – 17 February 2021 – Deliveroo’s imminent delivery of floatation.
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