Deliveroo debuts as a listed company on Wednesday in London’s biggest stock market launch for a decade, after the app-driven meals delivery group enjoyed surging sales during the coronavirus pandemic.

The eight-year-old British company, facing criticism over its treatment of self-employed riders, is set for a value of £7.6 billion (€8.9bn) when it launched at 0700 GMT.

This is after pricing its initial public offering at £3.90 per share – the bottom of its target range – according to a source close to the matter.

Despite “very significant demand from institutions across the globe” amid market volatility according to Deliveroo, its IPO has been snubbed by some asset management firms, citing the job insecurity of riders. Amazon-backed Deliveroo maintains that its riders – which total around 100,000 across 800 cities worldwide – value the flexibility the job affords. However, its business model has come under scrutiny, including in Britain, France and Spain. And the highly anticipated float has been overshadowed by small-scale protests, strikes and rallies in Australia, Britain and France – with more set to follow.

London boost

Deliveroo’s listing is seen as a major boost to London’s financial sector, known as the City, which earlier this year lost its European share trading crown to Amsterdam following Brexit. The stock market float is set to be London’s largest since Swiss miner Glencore’s IPO in 2011 valued at almost £37 billion.

Institutional investors are the first to get a slice of the group, followed by the general public on April 7.

Institutional investors are the first to get a slice of the group, followed by the general public on April 7