Amazon is backing food delivery service Deliveroo as part of an investment consortium investing nearly half a billion pounds in the app.
The consortium, which also includes existing investors T Rowe Price, Fidelity Management & Research Company and Greenoaks, will invest $575m (£450m). Amazon has led the investment.
Deliveroo will use the money to invest in its UK-headquartered tech team and to expand its delivery-only ‘super kitchens’ Editions and new formats which will help restaurants to expand at a lower risk and cost.
It will also develop new products to offer a more personalised experience, offer new tools to riders and increase its support for restaurant partners.
Amazon has previously been reported to have tried to buy Deliveroo outright. The food delivery company now operates in over 100 towns and cities across the UK.
Deliveroo founder and chief executive Will Shu said: “This new investment will help Deliveroo to grow and to offer customers even more choice, tailored to their personal tastes, offer restaurants greater opportunities to grow and expand their businesses, and to create more flexible, well-paid work for riders.
“Amazon has been an inspiration to me personally and to the company, and we look forward to working with such a customer-obsessed organisation.”
Amazon’s UK boss Doug Gurr added: “We’re impressed with Deliveroo’s approach, and their dedication to providing customers with an ever increasing selection of great restaurants along with convenient delivery options. Will and his team have built an innovative technology and service.”