Blue Apron, the startup that delivers meal kits to homes, has landed a $135 million investment led by Fidelity, the company said this morning. The announcement confirms a Re/code report from May, which said Fidelity was in talks to lead the round at about a $2 billion valuation.
Blue Apron Confirms New $135 Million Investment Led by Fidelity
Cheddar, cheddar.
Lauren Goode
Jason Del Rey has been a business journalist for 15 years and has covered Amazon, Walmart, and the e-commerce industry for the last decade. He was a senior correspondent at Vox.
Each week, Blue Apron customers receive a box that contains the exact proportion of ingredients needed to prepare meals, along with the associated recipes. Investors like the company’s model because it requires customers to sign up for subscriptions, making it easier for the company to project revenue.
The new investment comes a year after Blue Apron raised $50 million at a $500 million valuation, as investors continue to place big bets on food delivery startups. Re/code reported last June that the startup was approaching a $100 million annual revenue run rate. The company says it’s delivering about three million meals a month.
While delivery startups Munchery and DoorDash deliver cooked meals, Blue Apron deliveries require some work, an attraction for people who want to learn how to cook that could also pose a hurdle to mass appeal.
Existing investors include First Round Capital and Bessemer Venture Partners, where Blue Apron CEO Matt Salzberg previously worked.
This article originally appeared on Recode.net.
