Germany's Delivery Hero has taken a 5.09% stake in online food delivery rival Deliveroo, which has driven the UK-based company's share price to its highest since listing on the stock market in March.
Shares in Deliveroo, which disclosed the holding in a stock market notice on Monday, rose more than 6% to 345 pence. They were priced at 390 pence in its initial public offering (IPO).
Deliveroo saw orders using its platform rise 88% during the second quarter of this year, it said in July.
Online food platforms such as Delivery Hero, Deliveroo, Uber Eats and Just Eat Takeaway.com have benefited from a surge in demand during pandemic lockdowns, but some analysts question how much of that business will persist as restaurants reopen.
A race into new markets and early moves towards consolidation have resulted in a number of cross-shareholdings in the sector.
Founded in 2011, Delivery Hero operates in about 50 countries worldwide, with particular strength in Asia, where it owns the foodpanda brand.
It does not operate in Britain - Deliveroo's largest market - after selling its Hungryhouse business to Just Eat in 2016.
However, after later consolidation in Germany, it does own a 7.4% stake in Just Eat Takeaway.com.
It also owns a 37% stake in Spain's Glovo, which is considering its own listing in about three years.
Deliveroo To Exit Spain
At the end of July, Deliveroo announced plans to cease its operations in Spain, which accounted for approximately 2% of its market in the fist half of this year.
"The decision to propose ending our operations in Spain is not one we have taken lightly," commented Hadi Moussa, chief business officer, international, Deliveroo "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."