The biggest conundrum facing investors in Deliveroo is whether to accept defeat. Shares in the food delivery app, which took the wooden spoon as the worst IPO in London’s history, languish at just a third of last year’s 390p listing price.
Bad timing, short-sellers and institutional investor concerns over the group’s dual-class share structure, were all blamed for the group’s disastrous entrance to the public markets. Rising rates, which have turned investors off tech stocks, regulatory risk, widening losses and the threat inflation poses to consumer spending have taken their place as the biggest obstacles to Deliveroo clawing back ground.
The food delivery group has set a target to break even at some point between the second half of next year and the first half