Deliveroo proposes pulling out of Spain

Online food delivery company Deliveroo has proposed ending its operations in Spain.

Deliveroo said on Friday that it had determined that achieving and sustaining "a top-tier market position" in Spain would require a "disproportionate level of investment" with "highly uncertain long-term potential returns" that could impact the economic viability of the market for the firm.

The London-listed firm added that its proposed exit from Spain will not impact its previously communicated full-year guidance on group annual gross transaction value growth to its gross profit margin.

Chief business officer Hadi Moussa said: "The decision to propose ending our operations in Spain is not one we have taken lightly.

"We want to thank all of the restaurants who work with Deliveroo in Spain, as well as our fantastic customers. Particular thanks goes to the thousands of brilliant, hard-working riders who chose to work with Deliveroo, as well as our talented and committed employees. They will be supported throughout the consultation period."

As of 1010 BST, Deliveroo shares were up 1.60% at 330.20p.