Goldman bought 75 million pounds of Deliveroo shares to prop up IPO price: FT By Reuters

<iframe src=”//rcm-na.amazon-adsystem.com/e/cm?o=1&p=22&l=ur1&category=homegarden&banner=02NMTC702K4D0VHE1SR2&f=ifr&linkID=17e0b4ac3a719000706e772761d8ae0e&t=forexz-20&tracking_id=forexz-20″ width=”250″ height=”250″ scrolling=”no” border=”0″ marginwidth=”0″ style=”border:none;” frameborder=”0″></iframe>

2/2
© Reuters. FILE PHOTO: A view of the Goldman Sachs stall on the floor of the New York Stock Exchange

2/2

(Reuters) – Goldman Sachs Group Inc (NYSE:) bought 75 million pounds ($104 million) worth of shares in food delivery group Deliveroo to prop up trading after an underwhelming market debut, the Financial Times reported on Tuesday, citing two people with direct knowledge of the matter.

The purchase equates to nearly a quarter of the value of shares traded in Deliveroo during its first two days as a public company last week, the report https:// said, citing Bloomberg data.

The share purchase by the bank, when taken together with the “overallotment” option, would mean the bank would have recorded a profit from the food delivery group’s declining share price, the report said, adding that most of these profits would be given to Deliveroo as part of an undisclosed agreement.

Deliveroo did not immediately return a Reuters request for comment, while Goldman declined to comment.

The startup’s listing was the biggest in the UK in a decade, but its dismal debut dealt a blow to London’s hopes of attracting fast-growing technology companies. Shares in Deliveroo fell by as much as 30% in their debut.

(1 pound = $1.38)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Be the first to comment

Leave a Reply

Your email address will not be published.


*