FRANKFURT: Delivery Hero AG, one of Europe’s largest Internet start-ups, is seeking to raise around 450 million euros (£392.4 million) by listing shares on the Frankfurt Stock Exchange, the company said on Tuesday.
The flotation of the food delivery company is expected to take place in the coming weeks.
It will comprise newly issued shares from a capital increase and the sale of some existing shares from the holdings of current investors.
The move could value loss-making Delivery Hero at between 3.5 and 4 billion euros, people close to the matter said last month.
Approximately 35 per cent of the share capital of Delivery Hero is currently indirectly held by Rocket Internet SE and approximately 10 per cent is held by South African company Naspers.
The company is targeting gross proceeds of about 450 million euros from newly issued shares, it said.
It plans to use the money to fund further investments in its business and may step up marketing spending by 10-15 per cent, a person close to the company said on condition of anonymity.
The Berlin-based company founded in 2011 provides a digital platform for the delivery of meals from more than 150,000 restaurants.
Some 90 per cent of meals are delivered by the restaurants’ own drivers, while the rest relies on Delivery Hero’s network. Delivery Hero takes a commission of about 1.60 euros and slightly higher fees if it does the delivery itself.— Reuters
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