Deliveroo said earlier this week that it aimed to sell nearly GBP 1 billion ($1.4 billion) of new shares in its upcoming initial public offering (IPO).
The British company also said that the listing would include the sale of shares by some existing shareholders as well, which could potentially push the size of the deal even higher.
Deliveroo is expected to be valued at around $7 billion, which would make it the biggest IPO by market capitalization in London since Royal Mail in October 2013.
The food delivery firm acknowledged it would have two classes of stock. The “class A” shares will give one vote, while the “class B” shares will provide 20 votes each. Yet, Deliveroo founder and Chief Executive Officer Will Shu will be the only holder of “class B” shares.
According to Reuters, the arrangement will last for three years and is designed to safeguard Deliveroo from a hostile takeover.
In May 2019 Amazon acquired a 16% stake in Deliveroo, while the deal was approved by the UK competition regulatory body in August 2020.
Deliveroo has a foothold in 12 countries, mostly in Western Europe, also along with the United Arab Emirates, Australia, Hong Kong and Singapore.