Food delivery group Deliveroo has narrowed the price range on its initial public offering, ensuring its order books were fully covered for what will be London's biggest IPO in a decade.
Deliveroo narrowed its price range on Monday to between 3.90 and 4.10 pounds per share, indicating a valuation of between 7.6 billion pounds and 7.85 billion pounds, excluding shares offered as part of an over-allotment issue. "Given volatile global market conditions for IPOs, Deliveroo is choosing to price responsibly within the initial range and at an entry point that maximises long-term value for our new institutional and retail investors."
Its revenues have soared and its so-called gross transaction value - a measure of the total value of orders received - jumped 64.3per cent in 2020 to 4.1 billion pounds.Deliveroo's order book has so far attracted strong interest from U.S. investors which are familiar with the dual-class share structures and the dynamics of tech listings, the source close to the IPO said.