Although the exact figure remains under wraps, Amazon has been revealed to be the largest investor in the London head-quartered Deliveroo’s Series G funding round.
This latest funding, backed by Amazon and existing investors T Rowe Price, Fidelity Management and Research Company, and Greenoaks, has raised $575 million (£451 million) for Deliveroo. And, it brings the total Deliveroo has raised to date to $1.53 billion (£1.2 billion).
Deliveroo says this latest cash injection will be used to expand the company’s tech and engineering team at its U.K. base, to grow its customers worldwide and to expand it delivery-only ‘Editions’ kitchens, which give restaurants additional cooking space outside their local areas to serve additional demand for their menus.
Deliveroo operates in over 500 towns and cities across Australia, Europe, Asia and the Middle East. Amazon did try to enter the restaurant food delivery market on its own back in 2016, but the Amazon Restaurants home delivery service closed within two years. This new partnership should allow Deliveroo to benefit from Amazon’s vast experience in rapid global delivery and help it crack new markets, while it takes Amazon into a new area of the food industry.
The news will likely have come as a surprise to rivals Uber Eats and Just Eat and competition between them and Deliveroo is likely to hot up in the coming months as a result.