Deliveroo’s latest funding round values firm at over $7 billion
Deliveroo Hero SE has raised more than $180 million in its latest funding round, valuing the UK online food delivery company at over $7 billion, according to a company statement.
The investment comes as the Amazon.com Inc.-backed firm eyes a potential listing this year, which is expected in or around April.
The funding round, led by existing shareholders Durable Capital Partners LP and Fidelity Management & Research Company LLC, pegs the startup's valuation on a par with U.K. blue-chip grocer J Sainsbury Plc's market capitalization and eclipses that of Wm Morrison Supermarkets Plc.
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As lockdowns restrict people's movement and businesses close, food delivery firms like Deliveroo and Just Eat Takeaway.com NV saw a boost as consumers ordered takeaways from home.
Despite the rise in demand, competition for market share remains fierce, with Delivery Hero recently raising as much as $1.6 billion in a share sale to fund potential deals, while Just Eat Takeaway has been making “significant” investments, according to a recent trading update.
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Deliveroo said it will continue to invest further in its business, including expanding its on-demand grocery service and “Editions” dark-kitchen concept.
By Kit Rees
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