LONDON (Reuters) – British food delivery company Deliveroo said on Sunday that it raised another $ 180 million from existing investors, including minority shareholder Amazon, in a move that values the business at more than $ 7 billion.
Deliveroo is expected to carry out an initial public offering in the coming months, in what would be the largest new issue of shares in London in three years.
“This investment will help us to continue to innovate, developing new technology tools to support restaurants, provide more work for passengers and extend the choice to customers,” said Deliveroo founder and chief executive, Will Shu.
Britain’s competition regulator approved Amazon’s purchase in May 2019 of a 16% stake in Deliveroo in August, rejecting objections from local competitors Just Eat Takeaway and Domino’s Pizza.
The Internet giant’s participation is not expected to increase as a result of its participation in the latest fundraising round, which was led by American investors Durable Capital Partners and Fidelity Management & Research.
Deliveroo operates in 12 countries, mainly in Western Europe, but also in Australia, Hong Kong, Singapore and the United Arab Emirates. It was not informed how much each investor had contributed in the last round of financing.
The company said it would spend the $ 180 million on expanding kitchen delivery locations, on-demand grocery deliveries and subscription services, as well as allowing more restaurants to take orders from their own websites.
Reporting by David Milliken; Editing by Clelia Oziel