Deliveroo raises $275m as UberEats expands
Food delivery service Deliveroo has raised $275m as competition with rivals, including UberEats, heats up. The funding, led by Bridgepoint, will be used to expand the service and also to back new initiative RooBox, which provides restaurants with access to delivery-only kitchens. Deliveroo has become one of the largest food-delivery services in Europe, as well as launching in Hong Kong, Singapore and Sydney, amongst other cities. The latest funding round values the company at more than $1 billion, which compares $3bn for UK-based rival, Just Eat and Delivery Hero, backed with more than $1 billion from investors.

Deliveroo has raised $361 million in a bid to compete with UberEats. The London-based food delivery service announced the investment, lead by Bridgepoint, on Friday night. It said the funds would be used to expand its service in new and existing markets as well as provide money for its latest service, RooBox, which gives restaurants access to "delivery-only kitchens". Deliveroo's Australian head, Levi Aron, said the company's take-up of new technologies had helped cement its position in the Australian market.

Deliveroo says new funds will be used to expand into new and existing markets. Credit: Jason South "Deliveroo continues to strive and bring the latest technological and data-driven innovations to the restaurant industry, including our newest rollout called RooBox," he said in a statement. The investment takes the company's funds raised to date to $623 million and has lead to speculation its valuation has now reached "unicorn" status of more than $1 billion. Ride-sharing giant Uber launched its food delivery service, UberEats, in Melbourne in April and Sydney last month. The service is available in only a handful of European and North American cities. The arrival of UberEats to Australia adds to an already crowded food delivery market that includes Deliveroo, Foodora, Menulog and Suppertime.