17th May 2019 08:48
LONDON (Alliance News) - Amazon.com Inc is to be the largest investor in takeaway platform Deliveroo's latest fundraising round.
Deliveroo confirmed on Friday it is raising USD575 million, with online retail giant Amazon participating alongside existing investors T Rowe Price, Fidelity Management & Research Co, and Greenoaks. The new fund raise increases the total funds raised by Deliveroo to USD1.5 billion.
Amazon's participation in the fundraise was first reported by Sky News.
Deliveroo said it will use the funds to grow its engineering team based in its London headquarters, expand its delivery reach, and develop "new innovations" in the food sector, such as its delivery-only kitchens.
It didn't says what size stake Amazon would hold following its investment.
Will Shu, founder and chief executive of Deliveroo, said: "This new investment will help Deliveroo to grow and to offer customers even more choice, tailored to their personal tastes, offer restaurants greater opportunities to grow and expand their businesses, and to create more flexible, well-paid work for riders."
"Amazon has been an inspiration to me personally and to the company, and we look forward to working with such a customer-obsessed organisation," he added.
Shares in Just Eat, a rival of Deliveroo, were down 8.1% at 623.80 pence on Friday, making the stock the worst performer in the FTSE 100.
Related Shares:
Just Eat