You are here: Home - Investing - Experienced Investor - News -

How to apply for Deliveroo shares

0
Written by: Emma Lunn
23/03/2021
The food delivery company plans to sell its shares for between £3.90 and £4.60 when it lists its shares on the London stock market.

Deliveroo’s initial public offering (IPO) is set to be the biggest UK share listing in more than seven years, with a valuation of between £7.6bn and £8.8bn.

Deliveroo announced earlier this month that existing customers, restaurants, grocers, and riders would have the chance to apply for shares under a ‘community offer’. This is now open for applications – here’s how it works.

How do I get involved?

Deliveroo is sending customers an email which invites them to register their interest via an individual link. The link invites you to set up an account with its partner PrimaryBid.

To be eligible to apply for a PrimaryBid account, you need a Deliveroo account and to have placed at least one order. To participate, you need to be located and resident in the UK, and provide your name, address, date of birth and National Insurance number.

How do I apply for shares?

People who have registered their interest can now apply for shares – PrimaryBid will send you an email. You can apply to buy £250, £500, £750 or £1,000 worth of shares.

Your money will be debited from your registered card at the point of application.

If you cancel your application during the community offer period, which you can do with the link on your email receipt, you should receive your refund within five business days.

Am I guaranteed to be allocated shares?

No. There is a maximum number of Deliveroo shares available under the community offer and Deliveroo might have more customers applying for shares than are available.

If that happens, you might not get any shares, or you might get fewer than you requested.

Once the community offer period closes, Deliveroo will assess the total demand from customers for its community offering and determine allocations accordingly.

What happens if I don’t get all the shares I applied for?

If the value of the shares you are allocated is less than the cash amount you applied for, you will receive the difference back.

The money will be sent to the bank account linked to the debit card you used for your application, and refunds will take about five business days after the deal closes.

It is likely that every successful applicant will receive a small refund even if they receive the maximum possible application. This is because companies can only issue whole shares, rather than fractions of shares, and so allocations will be rounded to the nearest share.

How can I hold my shares?

If you are allocated shares you can choose where they are stored. If you do not wish to transfer shares to your own stockbroker account, they can be held in a “Corporate Sponsored Nominee” (CSN) service managed by Equiniti Financial Services Limited (Equiniti).

There are no charges to hold shares in the CSN, however there is a fee (set at £5 for the first year) to trade shares and a fee (£5) if you choose to transfer-out to another broker after 7 May 2021.

If I’m allocated shares, when can I start trading them?

Dates are not yet finalised but Deliveroo expects the offer period to last from now until 30 March 2021.

It will then announce allocations for the community offer on 31 March, with shares dished out on 7 April – then you will be free to trade them.

Tagged:

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Flight cancelled or delayed? Your rights explained

With no sign of the problems in UK aviation easing over the peak summer period, many will worry whether holida...

Rail strikes: Your travel and refund rights

Thousands of railway workers will strike across three days this week, grinding much of the transport system to...

How your monthly bills could rise as the base rate reaches 1.25%

The Bank of England has raised the base rate to 1.25% as predicted – the fifth consecutive rise in just six ...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week