London: Shares of UK-based food delivery firm Deliveroo climbed to their highest level in three years Monday after it confirmed a $3.6 billion takeover offer from US counterpart DoorDash. Deliveroo shares were up 17.19%, their highest since January 2022, to £171.8 ($229.25) as of 1300GMT on Monday.

According to Anadolu Agency, Deliveroo initially made the announcement on Friday following the end of European trading. It said in a follow-up report on Monday that it was immediately halting the share buyback program it had announced on March 18 for £100 million.

Deliveroo stated on Friday that it had discussed the idea with advisors and that, if a concrete offer was made, subject to certain conditions, it would be "minded to recommend" it to shareholders. It also mentioned ongoing conversations with DoorDash.

Deliveroo's shares experienced a significant decline in 2022 after the firm went public in London the year before, with investors concerned about the meal delivery sector in the post-COVID-19 era, fierce industry competition, and issues surrounding workers' rights in its gig economy model.

Since then, the company's stock has steadily increased, albeit somewhat subtly, but remains far from its August 2021 peak of £386.1 per share. Deliveroo operates in various countries, including the UK, France, Italy, Belgium, Ireland, Singapore, and Qatar.