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What does Deliveroo’s IPO flop say about the economics of food delivery?

Deliveroo’s listing on the London Stock Exchange last week was supposed to be a feel good story. It was London’s biggest IPO in a decade and it was hoped that the food delivery app would be the first of many major tech listings for the City. Retail investors had also gotten on board, with 70,000 Deliveroo users having bought shares worth £50 million. But Deliveroo’s listing cannot be described as anything but a flop. On the first day of trading, the stock price plummeted by 29 per cent, o

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