Deliveroo, a London startup that allows restaurants to offer takeaways, has landed a tasty £45 million ($70 million) from the venture capital houses that backed Facebook in its early days.
The significant investment - involving Facebook backers Accel Partners and Index Ventures - follows hot on the heels of a £16.5 million funding round in Deliveroo back in January and brings total funding in the company up to over £60 million.
Founded in 2013 by former investment banker William Shu and Greg Orlowski, Deliveroo allows customers to get meals from a variety of leading local independent and chain restaurants like Nandos, delivered to their homes and offices by one of the hundreds of Deliveroo drivers and cyclists.
The company, whose service is available in France, Germany and Ireland, as well as 18 UK towns and cities, said it will use the money to help it expand into new cities in Europe, the Middle East and Asia and develop its technology.
William Shu, cofounder and CEO of Deliveroo, said: “We’ve seen huge demand for our service from customers and restaurant partners alike.
“Although we’ve grown rapidly since inception, we’re extremely excited to be entering into the next phase of our ambitious expansion strategy. We’re committed to building our team of passionate drivers, offering restaurants a new revenue stream and helping more customers around the world discover and enjoy great local food with an unparalleled level of convenience.”
Martin Mignot, an investor at Index Ventures, added: "We've had the chance to see Will and his team operate for the past 18 months, and we've been blown away by how quickly they've managed to grow the business, both in London and outside, while maintaining a consistent user experience and delivery time.
“Their product has really struck a chord with customers, and we're delighted to have the opportunity to invest again, for the third time, and keep on increasing our support to the company as it expands internationally."
In the UK, Deliveroo is looking to take on other fast-growing startups including JustEat and Hungryhouse. However, it differentiates itself by offering delivery-as-a-service, while its rivals partner with restaurants that already offer takeaway.
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