LONDON: Food delivery company Deliveroo could make Britain’s biggest stock market debut since commodities giant Glencore went public nearly a decade ago, after setting a price range on Monday that values it at up to US$12 billion.
Deliveroo will also be the biggest tech IPO on the LSE, dwarfing The Hut Group from last year - which had a 5.4 billion pound market capitalisation at time of listing - and the since-delisted Worldpay Group from 2015. "Although this insatiable demand for takeout food isn't likely to fully unravel, there is inevitably going to be a drop in demand as diners seize the opportunity to book tables at their favourite eateries when restrictions do ease."Deliveroo said it had set a price range for its listing of between 3.90 and 4.60 pounds per share which will give it a market value of between 7.6 billion pounds and 8.8 billion pounds , excluding any shares offered as part of an over-allotment issue.
Deliveroo has opted not to pursue a premium listing - ruling it out of inclusion in the FTSE indices - which allows founder and chief executive Will Shu to retain enhanced shareholder rights.