Deliveroo gears up for a Spring 2021 Stockmarket floatation

Deliveroo - the food delivery business - is planning a floatation later this year in a listing that could value the business in excess of £7 billion.

This is a high-growth business and potentially attractive to investors given the shift towards food deliveries that has gathered pace during the pandemic.

But the business had operating losses in excess of £310 million last year and was forced - in addition to raising fresh equity from private investors - to take out a loan of £190 million in 2019 to cover losses.

The surge in demand for home-delivered food because of covid is said to have doubled revenues and driven the business closer to making an operating profit.

Deliveroo is investing heavily in "dark kitchens" or "ghost kitchens" which provides the facilities for restaurant chains to make food solely for delivery but has no dining area for customers.