Deliveroo has slashed the value of its stock market listing by up to £1.2billion as concerns rise over workers’ rights.
The online takeaway giant could still be worth from £7.6bn to £7.85bn from the share sale launching on Wednesday.
However, that compares with an upper target of £8.8bn announced last week.
Since then a wave of big UK investors said they would snub the listing as rights of workers become a focus.
A recent Mirror investigation revealed riders on thousands of shifts averaged less than the minimum wage.
Footballer Marcus Rashford was due to hold emergency talks with the firm, a major backer of the Manchester United star’s End Child Food Poverty Task Force.
Deliveroo today narrowed its price for the Initial Public Offering to £3.90 to £4.10 per share, from an original range of £3.90 to £4.60.
Deliveroo co-founder Will Shu, 41, could still net more than £470m.
The Independent Workers’ Union of Great Britain has organised a strike next week by riders, who it claims can earn less than the minimum wage on some shifts.
But Deliveroo insisted: “These unverifiable, misleading claims from a fringe organisation who claim to have spoken with 0.6% of riders should not be taken seriously.
"UK Riders earn £13 per hour on average at our busiest times.”
It said opting for lower prices for its shares was not linked to criticism and the firm had “received very significant demand.”
However Britain’s top technology investor said he would not invest. James Anderson, manager of investment trust Scottish Mortgage, said he was “lukewarm” due to Deliveroo’s focus on slower-growing markets and reliance on London.
Amazon’s stake in Deliveroo is set to be worth at least £1.2bn.
