LONDON: British food delivery firm Deliveroo announced plans to launch its hotly anticipated London listing on Monday after recording a surge in business during the COVID-19 pandemic, although it still posted a loss for 2020.
The initial public offering (IPO) is expected to value Deliveroo at more than $7 billion, based on a private funding round it completed in January, and will be one of the largest London listings in several years.
The company published a registration document and an expected "intention to float" -- which signals the start of the listing process -- on Monday, capping what has been a busy start to the London IPO season.
In an accompanying trading update, the company said it had grown the total number of transactions processed on its online platform, the so-called Gross Transaction Value, by 64.3% last year to 4.1 billion pounds from 2.5 billion in 2019.
It also narrowed an underlying loss to 223.7 million pounds ($308.93 million), from 317.3 million pounds in 2019.
"Today, Deliveroo is so much bigger than I ever would have thought possible," founder and chief executive Will Shu said in the trading update. "We are building delivery-only kitchens, delivering groceries, building tools for restaurants to take them into the digital age - things I never contemplated when we launched."
Class system
The company confirmed it plans to use a dual-class share structure that will give Shu more control over the company.
This means it will have a "standard" listing upon entry into the London Stock Exchange, rather than a premium one, excluding it from the FTSE indices.
However, this could change if recommendations made in a recent review of listing rules by former EU Commissioner Jonathan Hill are implemented.
"It's obviously great news that Deliveroo, a global technology leader, born and bred in the UK, has chosen to list here," Hill said in a statement provided by Deliveroo. "The changes we recommended would make it easier for more companies to follow Deliveroo's lead, sending out a message that London is open for business."
Goldman Sachs and JP Morgan are joint global coordinators and bookrunners along with Bank of America, Citi, Jefferies and Numis.
Deliveroo launches London IPO after business surges in 2020
https://arab.news/nj92e
Deliveroo launches London IPO after business surges in 2020
- The initial public offering (IPO) is expected to value Deliveroo at more than $7 billion
- The company said it had grown the total number of transactions processed on its online platform
Saudi Arabia, UAE and Kuwait to lead GCC property growth in H1: Markaz
RIYADH: Gulf real estate markets are expected to extend their growth into the first half of 2026, with Saudi Arabia, the UAE and Kuwait leading activity, a new analysis showed.
The report by Kuwait Financial Center, also known as Markaz, said sustained momentum across the Gulf Cooperation Council will be driven by steady economic growth, improving liquidity and a more accommodative interest rate environment.
Developing a robust real estate landscape remains central to GCC governments’ diversification strategies as they seek to reduce reliance on crude revenues.
In Saudi Arabia, the Real Estate General Authority expects the Kingdom’s property market to reach $101.62 billion by 2029, with an anticipated compound annual growth rate of 8 percent from 2024.
Setting out its forecast for six months to the end of June, the report said: “Markaz expects the GCC real estate market to remain in an accelerating phase in the first half of this year.”
It added: “Higher oil production, growth in the non-oil economy, continued government spending on infrastructure and development projects, along with policy rate cuts, are expected to improve liquidity and credit growth.
“These factors support borrowing and investment activity across residential, commercial, and industrial real estate segments.”
Markaz said the sector will remain a key contributor to regional economic development, offering attractive opportunities for investors across segments.
Saudi Arabia outlook
Saudi Arabia’s real estate market remains in an accelerating phase and is expected to sustain momentum in the first half of 2026, signaling stable conditions with room for further gains.
The report said the Kingdom’s sector showed strong performance in the second half of 2025, driven by residential activity and tight office market conditions.
Residential transactions increased 17.9 percent quarter on quarter in the third period of 2025, with Riyadh and Jeddah leading price gains, while developers accelerated supply through giga-projects and premium residential developments.
The office sector remained highly constrained, with vacancy in Riyadh near zero at 0.5 percent, supporting prime rent growth of 7.3 percent year on year.
Demand was underpinned by the Kingdom’s Regional Headquarters Program and expanding activity in the healthcare and technology sectors.
In October, Saudi Arabia’s investment minister Khalid Al-Falih said the number of companies relocating their regional headquarters to Riyadh had exceeded 780, underscoring the Kingdom’s growing appeal as a global business hub.
The regional HQ program offers a 30-year corporate tax exemption, withholding tax relief and regulatory support, reflecting efforts to attract multinational corporations to the capital.
Some firms that have established regional bases in Riyadh include Northern Trust, IHG Hotels & Resorts, PwC and Deloitte.
Highlighting future prospects, Markaz said: “While the fiscal deficit widened to 3.7 percent of GDP in 2025 and is expected to remain at similar levels in 2026, increased capital expenditure under Vision 2030 is anticipated to support construction activity, sustaining demand across commercial and residential segments.”
It added: “Population growth continues to underpin housing demand, with Saudi Arabia’s population reaching 35.3 million by mid-2024, up 4.7 percent year-on-year, with non-Saudis accounting for 44.4 percent of the total.”
UAE momentum
The UAE’s real estate market recorded a strong performance during the first three quarters of 2025, according to Markaz.
In Dubai, transaction values increased 28.3 percent year on year to 554.1 billion Emirati dirhams ($150.88 billion), while Abu Dhabi recorded total sales of 58 billion dirhams, up 75.8 percent year on year.
The number of transactions in Abu Dhabi rose 42.3 percent to 15,800.
“Although Dubai’s annual sales values have consistently outperformed the previous year over the past three years, concerns regarding sustainability have emerged. Markaz notes that the current growth cycle is supported by strong fundamentals, reducing the likelihood of a sharp correction,” said Markaz.
It added: “However, a period of moderation or cooling is expected over the medium term. Nonetheless, Markaz forecasts that the UAE real estate market could peak in the first half of 2026, marked by steady growth in prices and rental rates in both Dubai and Abu Dhabi.”
Earlier this month, the UAE state news agency WAM reported that Dubai’s real estate sector grew 6.7 percent during the first nine months of 2025, with its contribution to the emirate’s GDP reaching 8.2 percent.
Kuwait stability
Kuwait’s real estate market is expected to remain stable in the first half of 2026, with prospects for rising land prices and rental rates.
In the first nine months of 2025, the property market maintained a stable growth trajectory, supported by higher land prices and rental rates across investment and commercial segments.
Real estate transaction activity strengthened during the first three quarters of 2025, with total sales rising 26.9 percent year-on-year to 3.04 billion Kuwaiti dinars ($9.92 billion), driven by growth across all segments.
Land prices increased on an annual basis across governorates, while rental rates in the investment segment recorded steady gains.
Investment segment sales increased 60 percent year on year, while residential and commercial sales rose 8 percent and 17.4 percent, respectively.
Transaction volumes grew 27.8 percent to 4,247, supported by increased activity across residential, investment and commercial properties.
The report added that Kuwait’s real GDP is projected to grow 3.9 percent in 2026, driven by higher oil production, improved non-oil activity, stronger project awards and anticipated interest rate reductions — factors expected to support demand for commercial and industrial real estate.
