EconomyMarkets

Deliveroo ticks up as retail investors join trading By Reuters

© Reuters. FILE PHOTO: A Deliveroo delivery rider cycles in London

By Julien Ponthus and Abhinav Ramnarayan

LONDON (Reuters) -Deliveroo shares opened slightly higher on Wednesday, the first day when retail investors were allowed to trade stock bought during the food delivery group’s initial public offering (IPO).

At 0730 GMT on its first day of unrestricted trading, shares were up 2.7% at 287.7 pence, but still about 25% lower than the IPO price, following a hefty first day tumble when it made its stock market debut in London last week.

Deliveroo was given an initial valuation of 7.6 billion pounds ($10.46 billion) through a 390 pence price tag per share.

The Financial Times reported on Tuesday that Goldman Sachs (NYSE:), a global coordinator on the deal, bought 75 million pounds ($104 million) worth of Deliveroo shares to support trading.

Deliveroo had included a “community” share offer as part of its IPO, allowing its customers to participate in the deal.

But these small retail investors were hurt by the first day fall in Deliveroo stock, which sliced about two billion pounds off the company’s initial valuation.

Because of London Stock Exchange rules, they were not able to trade their shares until today.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.


Source link

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button