GrubMarket Raised $90 million in 2020 to Accelerate Nationwide Expansion
Today we are excited to announce that we have completed $90 million of financing in an oversubscribed Series D round in 2020, from funds and accounts managed by BlackRock, ACE & Company, Celtic House Venture Partners, Sixty Degree Capital, The Strand Partners, Reimagined Ventures, Trinity Capital Investment, Madison Bay Capital Partners, Marubeni Ventures, GGV, and others.
Our CEO, Mike Xu said the following: “I want to thank all of our supporters. The Series D round was many times oversubscribed as we originally intended to raise no more than $30 million. With this injection of capital, we will deepen our investment in people, technology, and acquisitions to reach the next level of success. Above all, the only and ultimate success criterion of my entrepreneurial pursuit is whether I can scale up GrubMarket to eventually achieve $100 billion of annual sales.”
This investment round follows a series of major milestones – expanding to 4 new states in 2020 including Washington, Texas, New York, and Massachusetts, and continued growth in Northern and Southern California and Michigan. Today, we operate from over 30 warehouses across California, Washington, Texas, Massachusetts, New York, and Michigan, and with plans to expand to other major metro markets in North America.
We were proud to be a first mover to re-architect the highly intermediated B2B food supply chain by establishing a producer-centric platform with a clear price advantage for market participants, exclusive producer/customer relationships, and retention rates of over 95%. Our B2B customers include over 5,000 grocery stores, over 8,000 restaurants, and over 2,000 corporate offices. Whole Foods, Kroger, Albertson, Safeway, Sprouts Farmers Market, Raley’s Market, 99 Ranch Market are all among our customers, as are meal-kit and e-grocery customers include Blue Apron, Hello Fresh, Fresh Direct, Imperfect Foods, Misfit Market, Sun Basket, and GoodEggs.
Managing Director of ACE & Company, Charles Lorenceau said: “I am always so impressed by the progress of GrubMarket and the unfaltering vision of Mike.” Jay Chen, Managing Partner of Celtic House Venture Partners commented: “Having a proven record of sustained hyper-growth and profitability, GrubMarket stands out as a rare Silicon Valley startup in the food technology and e-commerce segment. GrubMarket’s creativity and capital efficiency is unmatched by anyone else in this space. Mike’s team has done an incredible job growing the company thoughtfully and sustainably. We are proud to be a partner in the company’s rapid nationwide expansion and excited by the strong momentum of WholesaleWare, their SaaS suite, which is the best we have seen in space.”
As always, we’re excited about what the future holds. More to come soon!