Yahoo Finance Deliveroo beefs up board with Cafe Rouge founder and ex-Coca Cola Europe boss
Deliveroo (ROO.L) has bulked up its board, announcing the appointment of two new members.
The food delivery company hired former Coca-Cola (KO) Europe chair Dominique Reiniche and Cafe Rouge founder Karen Jones.
Reiniche, who is joining on 1 May, will become a member of Deliveroo’s audit, remuneration and nominations committees. She also has expertise in the tech industry, currently serving as non-executive director of PayPal (PYPL) Luxembourg.
It said Jones will become chair of the firm’s remuneration committee and will also join its audit committee when she joins the board on 1 June.
Claudia Arney, Deliveroo’s chair, said the new appointees "bring substantial expertise in the restaurant and food and drink sectors, as well as deep knowledge of consumer marketing and real insight into our European markets."
The appointments come as Deliveroo struggles to live up to the hype of its stock market debut in London.
Investors claimed bankers overvalued the firm, while bankers and advisers that worked on the deal blamed broader market conditions for the failure.
There have also been concerns over the company's constant losses and governance structure, which handed founder and chief executive, Will Shu continued control of the business even after it floated.
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The company had sold shares at 390p-a-piece in its initial public offering, valuing Deliveroo at around £7.6bn ($10.5bn).
However, shares in the company crashed as much as 30% on the day of its IPO, knocking £2bn off its value.
Last week, they hit yet another all-time low of 224p after declining 2.5% on Friday morning.
Shares in the company were down 0.7% to 240p on Wednesday morning in London.
Meanwhile, Deliveroo's strong first quarter results did little to boost shares in the company, after warning its outlook remained uncertain as COVID lockdown eases.
It anticipates consumers may order less takeaways as outdoor restaurant areas have reopened.
Growth in the first three months of this year accelerated for the fourth consecutive quarter, with orders rising 114% year-on-year to 71 million and gross transaction value (GTV) increasing 130% to £1.65bn.
Monthly active consumers grew 91% to average 7.1 million during the first quarter.
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