PR Newswire: news distribution, targeting and monitoring
Home Page > News Releases > APAC > Appetise, a national UK online takeaway food delivery marketplace plans to list on the ASX in November 2017

Appetise, a national UK online takeaway food delivery marketplace plans to list on the ASX in November 2017

2017-09-26 06:30
Share with Twitter

This communication is not for publication or distribution, directly or indirectly, in or into, or to any person located or resident in, any jurisdiction where it is unlawful to release, publish or distribute this communication, including without limitation, the United States of America, including its territories and possessions, any state of the United States of America and the District of Colombia (collectively, the "U.S."). This communication does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of an offer to purchase or subscribe for, any securities, and, without limitation, is not an offer of securities for sale into the U.S. The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the U.S., except pursuant to an applicable exemption from registration. No public offering of securities is being made in the U.S.

  • Appetise is a national UK online takeaway food delivery marketplace.
  • Just opened an A$4.8 million to A$6.8 million ASX IPO.
  • Chaired by Simon Smith, a former CEO of eBay Australia.
  • Keith Edelman, a former CEO of Arsenal, is on the board.
  • Established platform with 400+ restaurants and 90,000+ registered users.
  • Offering a better value-for-money proposition for restaurants and consumers than the limited number of larger competitors.
  • UK takeaway market $10.7 billion currently and expected to grow to $12.8 billion by 2020.
  • The space has attracted substantial investment and M&A.

SYDNEY, Sept. 26, 2017 /PRNewswire/ -- Appetise (Holdings) Ltd ("Appetise" or the "Company"), an online marketplace for takeaway and delivery restaurants, operating nationwide in the UK, has opened an initial public offering of its shares and plans to list on the ASX in November 2017. Appetise is a "pure play" marketplace intermediary between restaurants and consumers (similar to Menulog in Australia in terms of its business model) - it does not provide delivery or logistics services, making its business model scalable and low capex.

The global market for takeaway food is A$124 billion annually. The UK market is the largest in Europe, worth A$10.7 billion currently, and projected to grow to A$12.8 billion by 2020. Telephone ordering still accounts for a majority of that market; however, online ordering has experienced substantial growth and investment recently.

Appetise is an established platform with an existing customer base and restaurant partners in place. Appetise has grown to have approx. 90,000 registered users and approximately 400 restaurants on its platform and had a gross order volume of approx. A$500,000 (with net revenues of approx. A$50,000) in the year to 31 March 2017.

Following a substantial investment by the US institutional investor behind the successful ASX-listed DroneShield (ASX: DRO) and an introduction of a new, high-powered board and management team, Appetise is now raising capital in an ASX IPO as it seeks to expand its restaurant and consumer reach, grow its revenues and achieve profitability.

The online food ordering sector in the UK and internationally has undergone extensive consolidation at substantial valuations over recent years, to a point where there are now only two large players among the pure play marketplaces in the UK. There have been over 15 recent acquisitions and capital raisings in the space. For instance, Just Eat (the largest UK player) announced an agreement to acquire Hungry House (the second largest UK player) in December 2016; and in May 2015 Just Eat acquired the Australian Menulog.

In the public markets, there have been several IPOs of online takeaway food marketplaces, and there are now four publicly-traded companies in the space in the US and Europe. These are JustEat, GrubHub, Delivery Hero and Takeaway.com. Until Appetise joins the ASX, Australian investors are unable to get exposure in this rapidly growing industry through any of the ASX-listed companies. The closest ASX-listed company to this industry is GetSwift (ASX: GSW), which provides dispatch/delivery management software.

The consolidation in the UK market has created a market dynamic where the largest player in the sector charges restaurants a joining fee of up to £699 and commissions of up to 14% on orders placed through its platform. It also charges customers a 50 pence card fee on all transactions. These fees can make it more expensive for customers to order through an online platform than it would be if they ordered directly from the restaurant.

Appetise brings value back to restaurants and customers via its strategy of eliminating joining fees for restaurants and card fees for consumers, and charging a commission rate of up to 10% (as compared to up to 14% for the larger competitors) on orders placed through its platform. Appetise also offers a generous loyalty scheme for regular customers, making it cheaper for consumers to order through Appetise than ordering directly from the restaurants. Further, Appetise enables consumers to make an educated choice by providing them with the ability to search restaurants by hygiene rating, something that its competitors are not offering consumers. All of these initiatives are designed to bring genuine choice and value back to restaurants and customers and allow them to share more equally in the benefits of the online food ordering marketplace.

Appetise's team includes:

  • Simon Smith (Chairman) who was previously CEO of eBay Australia.
  • Keith Edelman (Non-Executive Director) who is currently a Non-Executive Director of Revolution Bars Group Plc (LSE: RBG) and SuperGroup Plc (LSE: SGP) and was previously the Managing Director of Arsenal Holdings Plc (OFEX: AFC).
  • Konstantine Karampatsos (CEO), formerly Commercial Director of TheFoodMarket.com and Head of e-commerce at Play.com (acquired by Rakuten, one of the world's largest retailers and e-tailers, in 2011). At Play.com, Konstantine designed and launched the marketplace model, leading a team of 20 people he recruited and managing 2,000 merchants for the marketplace. Prior to Play.com, Konstantine worked in marketplace sales at Amazon.co.uk, and was Sales Director at Careerbuilder.com and a mergers and acquisitions analyst at Royal Dutch Shell.

The Company's IPO assumes a pre-money valuation of A$9 million. Once listed, the Company will have a market capitalisation of A$15.8 million (based on the IPO issue price of $0.20 each and the maximum subscription of A$6.8 million being raised).

A majority of the funds raised from the IPO will be used to expand the marketing effort and sales staff, and continue to develop and refine the Company's software platform.

To view the prospectus please go to https://events.miraqle.com/appetise-ipo/Home/

Media Contact

Robert Clisdell
Non-Executive Director
Tel: +61 (0)2 8226 8649
E-mail: robert.clisdell@appetise.com

The offer of ordinary shares by Appetise (Holdings) Limited ("Appetise") in Australia and to qualifying investors outside of Australia (if any) is made under a replacement prospectus which has been lodged with the Australian Securities and Investments Commission on 21st September 2017 (Replacement Prospectus) which replaces the prospectus lodged with ASIC on 7th September 2017 (Prospectus). The Replacement Prospectus is available and can be obtained from www.appetise.com. Investors should consider the Replacement Prospectus in deciding to apply for securities.  Anyone wishing to apply for securities in Appetise will need to compete an application form attached to or accompanying the Replacement Prospectus. A copy of the Replacement Prospectus can also be requested from Appetise's Chief Financial Officer Richard Hateley at richard.hateley@appetise.com. 

This communication, and any other material related thereto, has not been approved by a UK authorised person and is directed only at persons who: (i) fall within the definition of investment professional under article 19(5) of the United Kingdom Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "Financial Promotion Order"); or (ii) are high net-worth entities falling within article 49(2)(a) to (e) of the Financial Promotion Order; or (iii) are certified sophisticated investors falling within article 50 of the Financial Promotion Order (in respect of whom this press release is exempt from the restriction in section 21 of the Financial Services and Markets Act 2000 on communication of invitations or inducements to engage in investment activity); or (iv) are persons to whom an invitation or inducement to engage in investment activity (within the meaning of section 21 of the Financial Services and Markets Act 2000) may otherwise be lawfully communicated or caused to be communicated (all such persons together being referred to as "Relevant Persons"). This press release is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons. Any investment or investment activity to which this press release relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.  Any investment or investment activity to which this press release relates may expose a Relevant Person to significant risk of losing capital invested and any person who is in any doubt about such investment or investment activity should consult an authorised person specialising in advising on such kind of investments.  This communication, and any other material related thereto, is required to be approved by an authorised person unless a relevant exemption applies.

Logo - https://photos.prnasia.com/prnh/20170925/1950286-2LOGO

Source: Appetise Holdings
Related Links:

Featured Video

Recent Releases

Banking/Financial Service Recent Releases

Food/Beverages Recent Releases

Restaurants Recent Releases

Web Site Recent Releases

Advanced Search
Search
  
  1. Products & Services
  2. News Releases
  3. Knowledge Center
  4. For Journalists & Media
  5. Multimedia Theater
  6. Contact Us