Deliveroo shares declined by 30 per cent in the company’s London debut on Wednesday, with the sharp drop cutting company value by £2 billion.

The disappointing listing comes days after several important investors decided to shun the offering. A number of them has raised concerns over proposed shareholder structure, alongside regulatory risks associated with an increased focus on the gig economy by global governments.

Last week the Bureau of Investigative Journalism published a report that revealed that while the company’s boss stood to make £500 million in the IPO, Deliveroo riders can earn as little as £2 an hour during shifts.

Shares dropped to as low as £2.71 in the firs 20 minutes of trading, increasing to around £2.98 later on in the morning.

Data from Delogic suggests that Deliveroo is on the way to experiencing the worst opening-day for an IPO in at least a decade, despite the London listing raising over $1 billion.

A senior equity capital markets banker told Reuters that the listing would have a negative impact on initial public offerings in both the UK and Europe.

“It’s an extremely painful move on one of the most anticipated IPOs of the year,” he said.

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