LONDON (Reuters) – Deliveroo has said shares worth £ 50m ($ 69m) will be allocated to customers in its future float, with the offer “Excellent food with a share”.
The food company, backed by Amazon, announced listing plans in London on Thursday, with a potential value of $ 7 billion, making it the largest debut on the market in the UK for three years.
Founder and CEO Will Shu said Deliveroo’s customers have supported the company’s growth and want to give them a chance to participate in the next stage of his journey.
“Too often, normal people are stuck at IPOs, and the only participants are institutional investors,” he said on Sunday.
“We wanted to give as many customers as possible the chance to become shareholders, which is why we offer 50 million pounds of shares, together with our partners and restaurant pilots.”
Deliveroo said any customer who placed an order will be able to register their interest through the company’s app on Monday.
Each could request up to £ 1,000 in shares, he said, adding that loyal customers will be given priority if the offer is oversubscribed.
Russ Mold, director of investment at online platform AJ Bell, said a year of blockages fueled demand for companies such as Deliveroo and he expects the habits formed during the pandemic to remain long until recovery.
“All this suggests that there is likely to be a good fight for Deliveroo customers’ shares worth £ 50 million on the IPO offer,” he said.
Deliveroo said it will also recognize the role played by its delivery pilots in its success, with a £ 16 million reward program to be launched on the day of listing.
Cash rewards from £ 10,000 to £ 200 will be available to riders in Deliveroo’s 21 markets based on the number of orders delivered. It was said that the average per eligible rider will be £ 440.
($ 1 = £ 0.7225)
Reporting by Paul Sandle; Edited by Christina Fincher