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

Should you invest in Deliveroo?

Written by: Emma Lunn

Deliveroo has written to customers saying it is considering becoming a publicly listed company, meaning investors will be able to trade shares in the company on the London Stock Exchange for the first time.

If the initial public offering (IPO) goes ahead, existing customers will have the chance to apply for shares. The ‘community offer’ will also be open to restaurants, grocers, and riders.

At this stage, people are being invited to register their interest through an individual link emailed to them. Investors will then be able to apply for Deliveroo shares, once the company has published its prospectus through 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.

When the time comes to buy shares you can apply for £250, £500, £750 or £1,000 of shares.

Deliveroo is expecting this to be a popular offer and so, while everyone who registers their interest will have the chance to apply, it is possible that not everyone who applies will be allocated shares or will get the amount of shares they have applied for.

Will Shu, Deliveroo founder and chief executive, said: “Far too often, normal people are locked out of IPOs, and the only participants are the institutional investors.

“I wanted to give as many customers as possible the chance to become shareholders, which is why we’re making £50m of shares available to them, alongside our restaurant partners and riders.”

Deliveroo will have £50m of shares to allocate and says if it is oversubscribed it will prioritise its most loyal customers first, while still trying to make sure new customers are able to benefit.

If the Deliveroo floatation goes ahead it will be the biggest market debut in the UK for three years with a valuation of about £7.5bn.

Deliveroo said it would also recognise the role played by its delivery riders in its success. If the IPO goes ahead, cash rewards from £200 to £10,000 will be available to riders based on the number of orders they have delivered.

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