The shares of the British Food Delivery Deliveroo on Monday at the highest level for more than three years, after the company had confirmed that it received a takeover offer of 3.6 billion US dollars from a US -American company Doorash.
Deliveroo made the announcement after the European markets were closed on Friday. In a follow-up update on Monday, it immediately said that the share buyback program of £ 100 million ($ 133.5 million), which it announced on March 18, suspended the equity program.
Deliveroo's shares have increased by 17.6% to 172.4 pence since January 2022 at 11:18 a.m. The stock was slightly higher on Monday by 16.5% higher.
The update of last week showed that Deliveroo's Board received a cash offer from Doorash on April 5 from 180 Pence Pro Deliveroo and, according to a CNBC calculation of the LSEG data, rated around 3.6 billion US dollars.
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Share course of the deliver.
In a statement on Friday, Deliveroo's Board announced that he had taken into account the proposal for consultants and that it “would be requested to recommend it to the shareholders” if a company offer was made subject to other conditions. It added that it was now in further discussions with Doordash.
Delyoo's shares recorded a severe decline in 2022 after the company had gone in London in London last year. Investors concerned the growth of the market for food delivery in the period after the covidal, intensive industry competition and questions about the rights of employees in his GIG Economy model. The company's share has steadily – albeit relatively subdued – and in August 2021 far from its height of 386.1 Pence per share.
Deliveroo works in markets such as Great Britain, France, Italy, Belgium, Ireland, Singapore and Qatar. The European regional competitors include Germany's delivery hero – which sold its share in Deliveroo in early 2024 Above Eats and Just eat.
In March, Deliveroo reported his first annual profit, which was swung from a loss of 10.9 million GBP in 2023 to a profit of 12.2 million GBP in 2024.
In turn, Doordash achieved an annual net income that is due to the shareholders of $ 123 million in 2024, which is currently mainly active in the USA and Canada, as well as some cities in Australia and New Zealand.
The food industry is full of takeovers of regional companies, with Doordash acquired the Wolt Finland in 2021 and recently sold parts of his Hong Kong business to delivery heroes at the beginning of this year. Only East is to be acquired by the Investment Group Prosus.
“Floperoo”
Susannah Streeter, head of money and markets at Hargreaves Lansdown, said in a Monday that a sales sale at the current offer of 180 pence per share would mean that the company would not shake “the” Flopoo “day with which it was saturated in 2021 after its catastrophic IPO debut.”
“Although Deliveroo has finally broken into profitable areas, the continued digestive disorders around the share price continued … Deliveroo excursion into grocery deliveries has contributed to making a profit, but it is still confronted with violent competitors.”
The deal would also be “disregarded” for the British government, which tries to increase the number of technology companies listed in London and to represent the latest outputs, said Street.
However, analysts from Citi said that they had not expected that a Doordash takeover of Deliveroo with large regulatory hurdles, since the companies have no operational geographical overlaps.
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