LONDON – Deliveroo, backed by Amazon.com Inc., established a price range for its prospective London listing with a valuation of up to $ 12 billion, setting a test for continued investment desire in online food delivery services.
In December, U.S. peers launched DoorDash Inc. priced on their first public offering at $ 102 a share, easily surpassing the San Francisco company’s expected price range of between $ 90 and $ 95. Part of that commitment was due to the explosion of delivery home that came with the pandemic coronavirus infection. But as vaccines rise in many affluent countries, including the U.S. and the UK home market Deliveroo, it is unclear how stable delivery growth will be if people begin to return to homes- will be.
Deliveroo supporters believe there is still room for growth. Earlier this month, the IPO Deliveroo was expected to value the company at around $ 10 billion, according to people familiar with the matter.
Deliveroo plans to raise £ 1 billion, equivalent to $ 1.4 billion, after issuing new shares. As part of the offer, Deliveroo said existing shareholders will sell a portion of their pledges, but that money will not go to the company.
Amazon has a 16% stake in Deliveroo. The sale of Amazon and other existing shareholders has not been confirmed any of their positions as part of the IPO. These decisions are usually made according to the demand and prices of the offer, according to people familiar with the matter.