HelloFresh has secured $50 million Series D funding. Insight Venture Partners led the round with participation from return backer Phenomen VC. Headquartered in Berlin and New York City, HelloFresh is a recipe kit delivery service.
New York, NY – June 18th, 2014 – HelloFresh, the leading global recipe kit delivery service, today announces a $50 million Series D funding round led by New York-based Insight Venture Partners with participation from existing investor Phenomen VC, doubling down on their previous Series C investment ten months ago. The investment follows tremendous month-over-month growth for the company which recently reached profitability in its core European market. HelloFresh now ships comfortably over one million meals per month to its customer base and has been cash-generative for all of 2014.
“The vision for HelloFresh has always been huge. More than 90% of people eat weeknight dinners at home, yet the way people shop and plan these meals has been the same for the past 50 years. We have the unique opportunity to change the way people think about dinner by offering them a hassle-free way to enjoy high-quality and healthy, self-cooked meals with their partner or family in their own home,” said Dominik Richter, Founder & CEO of HelloFresh. “We aim to establish a whole new category on the wider grocery market and to build up a truly global consumer food brand. With Insight as a partner, we have all the right ingredients to deliver on our mission.”
HelloFresh subscribers choose a box containing three to five recipes on their website, and all the high-quality ingredients are delivered once per week directly to the customer’s door. As ingredients are portioned out into exact quantities, both cooking time and food waste are kept to a minimum. Easy-to-follow recipe cards and inspiring dishes make cooking a simple and convenient part of customer’s weekly routine which in turn leads to exceptional customer loyalty.
“Grocery shopping is time-consuming and routine. HelloFresh has introduced a new way of shopping for fresh produce and creating nutritious home-cooked meals,” said Jeff Lieberman, Managing Director at Insight Venture Partners. “We believe that the company is rapidly becoming a global online market leader in the food delivery industry and we’re pleased to partner with them as they execute their growth strategy.”
HelloFresh was founded in November 2011 and is headquartered in Berlin and New York City with further offices in London, Amsterdam and Sydney. Currently, the company operates in Germany, Austria, the United Kingdom, Netherlands, Australia and in the U.S. and employs 120 people. The company’s previous investors include Holtzbrinck Ventures, Vorwerk Ventures, Rocket Internet and Kinnevik.
About Insight Venture Partners
Insight Venture Partners is a leading global venture capital and private equity firm investing in high-growth technology and software companies that are driving transformative change in their industries. Founded in 1995, Insight has raised more than $8 billion and invested in more than 200 companies worldwide. Our mission is to find, fund and work successfully with visionary executives providing them with practical, hands-on growth expertise to foster long-term success.
About Phenomen Ventures
Founded in 2012, Phenomen Ventures is one of the fastest growing venture and growth equity firms, with presence in the U.S., Europe and Israel. Since inception, Phenomen Ventures raised $300M of capital and its portfolio companies have been reaching 35 countries worldwide, while many of them act as market leaders of their industries in geographies of operation – such as Prosper, DeliveryHero, Dafiti, Onetwotrip, Hailo, HelloFresh, Weebly and others.