Will Shu, founder and chief executive of Deliveroo, has sold shares worth nearly £15 million, just a month after the food delivery company reported its first profit.

Between September 12 and September 16, Shu sold 9.4 million shares, valued at £14.8 million, to fund personal property investments. Despite the sale, Shu still retains 95.8 million shares in the company, which noted that he does not participate in its annual bonuses or long-term share award schemes.

This move follows Deliveroo’s recent financial turnaround, marking its first profit since going public and announcing a £150 million share buyback. Over the past 12 months, Deliveroo’s share price has risen by almost 30%, reflecting growing investor confidence.

For the six months ending in June, Deliveroo reported a profit of £1.3 million, a significant improvement from the £82.9 million loss in the same period the previous year. The company’s order volume increased by 2% to 147 million, while its gross transaction value rose by 5% to £3.69 billion, as easing food prices and a stabilising cost of living bolstered demand.

Founded in London in 2013, Deliveroo started with Shu, an American-born former banker, personally delivering pizzas to friends. Today, it operates in ten markets with 140,000 delivery riders and partnerships with about 180,000 restaurants. However, its journey as a public company has been tumultuous. Deliveroo’s high-profile initial public offering in April 2021, valued at £7.6 billion, was marred by a 30% drop in share price on its first trading day amid concerns over its business model and the legal status of its riders.

Deliveroo thrived during the pandemic when hospitality venues were closed, but faced challenges as the cost of living crisis led to a decline in orders. To diversify, the company has expanded into non-food products, including a recent partnership with B&Q to deliver home improvement goods within London in as little as 25 minutes.

Despite Shu’s share sale, Deliveroo’s stock remained stable, closing slightly up by ½p, or 0.25%, at 157¼p, suggesting that investors remain confident in the company’s strategic direction and financial performance. As Deliveroo continues to evolve, the market will closely watch how it navigates its expansion plans and maintains profitability in a competitive landscape.

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Deliveroo CEO Will Shu sells £15m worth of shares after company’s first profit