Deliveroo ‘in play’ as report reveals DoorDash takeover approach

Deliveroo (LSE:ROO) shares were slightly higher at Wednesday’s close, up 1.18% at 129p each, after reports of talks with American food delivery peer DoorDash (NASDAQ:DASH) over a potential takeover.

DoorDash approached Deliveroo last month, according to a Reuters report.

However, talks ended with no agreement, and valuations were mismatched.

At just under 130p, the market is currently valuing Deliveroo at around £2.1 billion.

Analyst views on the news suggest it may only be the beginning of potential bids for Deliveroo and that other bidders could potentially emerge.

The London-listed shares, which are 13.2% owned by Amazon, have struggled since what now looks like a disappointing IPO. It is down 54% since the 2021 float.