Retail news that keeps industry pros in the know
Retail Brew delivers the latest retail industry news and insights surrounding marketing, DTC, and e-commerce to keep leaders and decision-makers up to date.
VCs went on somewhat of a financing spree last year, but in 2022, funding was a bit harder to come by. The year saw 102 US retail deals through December 9, totalling $3 billion, down from last year’s 175 deals summing $5.4 billion, per PitchBook data.
This year’s top five largest funding rounds saw a few companies whose funding rounds are starting to dig deep into the alphabet, along with a few fresher faces, but they’re still (like last year) mostly centered around one industry.
5. Foxtrot: $100 million in January
Convenience retailer Foxtrot waltzed into the new year by securing $100 million in series C funding, bringing its total funding to date to $160 million. The fresh capital helped the company grow its brick-and-mortar footprint, with 20+ stores including recent openings in Bethesda, Maryland, and multiple locations in Austin, Texas.
- CEO Mike LaVitola told us in October that the quality and differentiation of its inventory, like prepared food and wine, helps it compete with others in the space.
4. GrubMarket: $120 million in September
Food-tech company GrubMarket raked in $120 million in an oversubscribed series E round at a valuation of over $2 billion, with investors including General Mills’s venture arm, 301 Inc. The company, which provides software and helps connect farmers and food suppliers with customers like grocers, restaurants, and schools.
- GrubMarket CEO Mike Xu told Bloomberg the business is profitable and the $$ would be used for mergers and acquisitions.
3. Material Bank: $175 million in May
Last year’s No. 12 Material Bank showed investors what it’s made of to climb to No. 3. The marketplace for sampling architectural, design, and construction materials, scored $175 million in a series D round at a valuation of $1.9 billion. The round was led by Brookfield Growth, a tech investment arm of Brookfield, one of the world’s largest developers.
- The company, which has raised over $325 million to-date, said in May it expected to surpass $100 million in revenue by year’s end.
2. Weee!: $425 million in February
Weee! flew up one spot from last year’s rankings, besting its own $315 million round in 2021 with its $425 million series E financing this year, which boosted its valuation to $4.1 million. The company said it would use the $$ to grow the platform across both “new and existing” ethnic cuisines, as well as expanding its food delivery to new locations.
1. Gopuff: $1.5 billion in May
Aaand the winner is, well, the same company as last year. While Gopuff initially planned to go public this year, it was ultimately among many, like Instacart, who delayed an IPO. The round, raised in the form of a convertible note, technically carried over from last year since it included three tranches, starting on December 16 and closed May 18, with investment from Disney CEO Bob Iger, also an advisor to the company.