LONDON (Reuters) – British delivery company Deliveroo said on Sunday it had raised an additional $ 180 million from existing investors, including minority shareholder Amazon, in a move that values the company at more than $ 7 billion.
Deliveroo will hold an initial public offering in the coming months, in what would be the largest new equity offering in London in three years.
“This investment will help us continue to innovate, develop new technical tools to support restaurants, empower riders, and expand customer choice,” said Will Shu, Deliveroo’s founder and CEO.
In May 2019, the UK competition regulator approved Amazon’s purchase of a 16% stake in Deliveroo in August, overturning objections from local competitors Just Eat Takeaway and Domino’s Pizza.
The internet giant’s stake is not expected to increase as a result of its participation in the latest round of fundraising, led by US investors Durable Capital Partners and Fidelity Management & Research.
Deliveroo is active in 12 countries, mainly in Western Europe, but also in Australia, Hong Kong, Singapore and the United Arab Emirates. It did not mention how much each investor contributed in the last round of funding.
The company said it would spend the $ 180 million expanding kitchen delivery-only sites, on-demand grocery delivery, and subscription services, and that it would allow more restaurants to take orders through their own websites.
Reporting by David Milliken; Editing by Clelia Oziel