Food delivery app Deliveroo has confirmed its intention to float on the London Stock Exchange after weeks of speculation.

In a note to the City this morning, Deliveroo said it had tapped up Goldman Sachs and JP Morgan to be joint coordinators of the float, while Merrill Lynch, Citigroup, Jefferies and Numis had all been secured as book-runners. 

The company also said it would enable UK-based consumers with a Deliveroo account to apply for shares. 

In terms of current trading, Deliveroo grew gross transaction value by 67% to £4.1bn in 2020, with underlying profit ballooning 89.5% in the same period to £357.5m.

Deliveroo also reported narrowing losses for the period of £223.7m.  

In a letter accompanying the announcement, chief executive and founder Will Shu said: “Now we take the next big step in our journey by allowing everyone to have a share in our future.

“That’s why we are planning to take Deliveroo public here in London, the city where it all started – and we plan to offer our customers across the UK the chance to own a part of the business. 

“We are proud to be enabling our customers to participate in a future float and have the chance to buy shares. Your loyalty and custom has helped build our business. I want you to have a chance to share in our future.”

At its last fundraising round in mid-January, Deliveroo was valued at more than £5bn.

The business said it currently works with 115,000 restaurants and retailers in 12 international markets, serving over 6 million customers with a fleet of more than 100,000 riders globally.

The firm has reportedly set aside £16m as a bonus for its drivers on the day of the listing, with payments of £10,000, £1,000, £500 and £200 being made available for drivers who have been with the company for over a year or have made more than 2,000 deliveries.