Home Estate Planning Amazon lowers Deliveroo stake as US giant cashes in on shares spike

Amazon lowers Deliveroo stake as US giant cashes in on shares spike

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Amazon has lowered its stake in delivery giant Deliveroo after a recent spike in its share price.

The US giant has decreased its holdings in the London-headquartered company from 14.1 per cent to 13.2 per cent, according to a new filing with the London Stock Exchange.

Despite the move, Amazon remains Deliveroo’s largest single shareholder, with DST Global in second place with a holding of 8 per cent.

Amazon sold around £100m worth of shares in Deliveroo when the company went public in 2021

In a separate deal, Sachem Head Capital Management also lowered its stake in Deliveroo from 5.2 per cent to 4.9 per cent.

The moves come after Deliveroo’s share price increased sharply from 115.8p on March 25 to 131.6p in its latest trading.

At the close of trading on April 8, the company had a market capitalisation of just under £2bn.

Last month, City A.M. reported that top bosses at Deliveroo had been awarded their first pay raises since the company’s float on the London Stock Exchange.

Deliveroo’s newly-published annual report confirmed that the company’s top executives have been awarded a 3 per cent pay rise.

The business said the rises are the first since its IPO and “were made against the backdrop of increases provided to the broader employee population over the last three years”.

Also last month, the company said that a strong demand for takeaways and lower costs helped it record a positive EBITDA last year. Overall, the company’s loss for the period was £32m, compared to £262m last year.

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