Deliveroo Secures $180 Million in Funding from Durable Capital Partners and Fidelity
Deliveroo, the UK-based food delivery company, recently announced that it has raised $180 million in funding from a group of investors led by Durable Capital Partners and Fidelity . The funding round also included participation from existing investors, including T. Rowe Price, General Catalyst, and Index Ventures . This latest funding brings Deliveroo’s valuation to $7 billion .
In addition to the funding, Deliveroo has appointed Adam Bradshaw as its new Chief Financial Officer (CFO) . Bradshaw previously worked at Just Eat, another food delivery company, where he served as CFO for four years .
Expansion and Growth
The new funding will allow Deliveroo to continue its expansion and growth in the highly competitive food delivery market . The company plans to use the funds to invest in new technology and expand its delivery-only kitchens, known as Editions . Deliveroo also aims to expand its services in existing markets and enter new ones .
Deliveroo’s partnership with Durable Capital Partners and Fidelity is seen as a positive development for the company. Both firms have a strong track record of investing in successful technology companies .
The Impact of COVID-19
The COVID-19 pandemic has had a significant impact on the food delivery industry. With many restaurants closed or operating at reduced capacity, more people are turning to food delivery services like Deliveroo . In response to the pandemic, Deliveroo has launched several initiatives to support its restaurant partners, including a commission reduction program and free delivery for customers .
Despite the challenges posed by the pandemic, Deliveroo has continued to grow. The company reported a 72% increase in orders in the second quarter of 2020 compared to the same period in 2019 .
Competition and Challenges
While Deliveroo has seen significant growth in recent years, it faces stiff competition from other food delivery companies like Uber Eats and Just Eat . In addition, the company has faced criticism over its treatment of delivery drivers. In February 2021, the UK’s Supreme Court ruled that Deliveroo drivers are entitled to workers’ rights, including minimum wage and holiday pay .
Despite these challenges, Deliveroo remains a major player in the food delivery market. With $180 million in funding and a strong leadership team in place, the company is well-positioned to continue its growth and expansion in the coming years .
Deliveroo’s partnership with Durable Capital Partners and Fidelity, as well as the appointment of Adam Bradshaw as CFO, are positive developments for the company . With $180 million in funding and a strong leadership team in place, Deliveroo is well-positioned to continue its growth and expansion in the highly competitive food delivery market.