Deliveroo prepares for listing
New round of financing exceeds 180 million
The platform is now worth more than $ 7bn
Deliveroo announces that it has completed a new over $180MM Series H funding round from existing investors, led by Durable Capital Partners LP and Fidelity Management & Research Company LLC, valuing the business at over $7bn. This investment comes ahead of a potential Initial Public Offering and reflects strong demand from existing shareholders to invest in the company, given the significant growth potential in the online food delivery sector in which consumer adoption is accelerating.
With this latest funding round Deliveroo will continue to invest to further drive growth and enhancements to its services for restaurants, riders and consumers. Examples of key areas this investment will contribute to: Expanding editions delivery-only kitchen sites globally, working with more partners; Expanding on demand grocery, a service that has grown rapidly over the last year; Extending our plus subscription service, bringing this to new geographies and expanding our benefits for subscribers; Offering its signature service to restaurants, enabling customers to order delivery via restaurants' own websites and increasing restaurants' sales; New initiatives to support riders working with the company.
Will Shu, founder and CEO of Deliveroo, said: "At Deliveroo we are always focused on developing the best proposition for consumers, riders and restaurants. This investment will help us to continue to innovate, developing new tech tools to support restaurants, to provide riders with more work and to extend choice for customers, bringing them the food they love from more restaurants than ever before. We are really pleased our shareholders see the opportunity and growth potential ahead of us". Henry Ellenbogen, Managing Partner and Chief Investment Officer at Durable Capital Partners LP, said: "I have been impressed with the team's ability to spot opportunities, innovate and adapt to changes in the market. The online food delivery market is nascent and underpenetrated. We believe Deliveroo has the potential to become a much bigger company over time".
Deliveroo has supported the three sides of its marketplace throughout the pandemic. The company invested to support local restaurants through targeted marketing campaigns, reducing onboarding fees, increasing the speed of payments, developing new services such as table service, as well as charging 0% commission on pick up orders. For consumers, Deliveroo invested in expanding its selection and prioritised safe delivery services. Riders received support in the form of free Ppe, amongst other measures. Deliveroo has been supporting the NHS throughout the pandemic, delivering hundreds of thousands of free meals.
EFA News - European Food Agency