Online delivery service Instacart is quickly filling up its piggy bank, gaining an additional $150 million on its mission to become the premier delivery option for grocery purchases. Adding to its previous gain of $200 million from sources including Coatue and Glade Brook Capital Partners, Instacart now has a stash of $350 million in Series E financing.
"The online grocery market hit a tipping point last year, as more and more consumers demanded grocery delivery. We are excited to accelerate our plans to bring online grocery everywhere and to keep transforming the way people shop," said Ravi Gupta, COO/CFO of Instacart. "We are also excited to welcome Coatue to our team and are grateful for the participation of our other new and existing investors."
Instacart’s new financing comes during a growth spurt for the company, having just recently expanded its U.S. foothold with partnerships including Kroger, Albertsons, Publix, Costco, Ahold-Delhaize, HEB, Loblaw, and Sam's Club. As of Series E’s close, Instacart has raised over $1 billion since its founding in 2012, according to a press release, with the vast majority of this capital still in the bank.
"Technology has changed the way we travel, communicate, and shop. But for most, visiting the grocery store is still a part of the weekly routine," said Kris Fredrickson, Partner at Coatue. "Instacart's incredible service is quickly bringing the grocery shopping experience online. After having been impressed with the team's execution over the last several years, we are excited to partner for the next phase of the Instacart journey."
Instacart said it plans to leverage this capital by doubling the size of its team, continuing to rapidly expand its footprint across North America, and investing in new products and services that improve the value proposition for its customers, shoppers, and retail partners.
What will this mean exactly? Further details of the company’s plans have not been revealed, but Deli Market News will report as updates roll in.