Deliveroo picks London for potential stock market listing

Henry Saker-Clark, PA City Reporter
·2 min read

Deliveroo has confirmed it has picked London for a potential listing as it looks set to become one of the latest in a flurry in recent stock market floats.

The takeaway delivery company is eyeing a listing on the London Stock Exchange just eight years after it was founded in the city by Will Shu.

It was reported last month the company hired six investment banks to work on the floatation, which could value it at up to £7.5 billion.

Deliveroo said its intent to go public in London underlines its commitment to make the UK its “long-term home” despite global growth ambitions.

It comes after the company saw demand soar during the pandemic as hundreds of restaurants across the UK sought to join its platform after sites were closed to dine-in customers.

Will Shu
Deliveroo founder Will Shu (Deliveroo/PA)

The potential float plans are expected to include a time-limited dual-class share structure closely in line with the findings of Lord Hill’s UK Listing Review.

The structure would involve two different classes of shares with differential voting rights allowing founders greater control over big decisions.

Mr Shu, who is currently chief executive officer, said: “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.”

The potential listing comes after a flurry of e-commerce listings in 2021, including cards retailer Moonpig.

Chancellor of the Exchequer Rishi Sunak 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 UK.

“It’s fantastic that Deliveroo has taken this decision to list on the London Stock Exchange.”

David Schwimmer, chief executive officer of the London Stock Exchange Group, said: “Deliveroo’s planned IPO on London Stock Exchange highlights the UK capital markets’ ability to support leading global tech companies.

“London Stock Exchange is an increasingly attractive destination for high-growth founder-led businesses, enabling them to innovate, grow and create jobs. We look forward to welcoming Deliveroo.”