SAN FRANCISCO, Jan. 25, 2018 /PRNewswire/ -- Sun Basket, the leading healthy meal kit
service delivering the best organic produce and sustainable
ingredients with delicious, easy recipes weekly to your door, today
announced a Series D investment of $42.8
million led by August Capital. Sun Basket also recently raised $15M in Debt Financing from Trinity Capital
Investment, bringing the total new funding to $57.8M. With two new facilities launching in
early 2018, Sun Basket will have the
capacity to build a $1B revenue
business.
Sun Basket is the fastest-growing
healthy meal kit delivery service in the United States. In
fact, the company grew faster than Airbnb, Uber, and Zappos within
its first two years of launch. Over the last 12 months, the company
grew net revenue by more than 280 percent, hitting $250 million in annual revenue run rate (ARR) at
the beginning of Q1 2018. Sun Basket
has grown quickly while also generating leading unit economics,
retention rates, and margin structure in the U.S. meal kit market.
The company's unique focus on leveraging customer data to create a
personal, healthy cooking experience sets Sun Basket apart from its peers.
Importantly, Sun Basket's
direct-to-consumer service aimed at organic and clean eating, the
fastest growing sectors in food business, is allowing the company
to scale rapidly. The company's diet-specific meal plans
personalized to its customers' unique lifestyle needs is creating a
highly "sticky" business model. Plus, its ability to reach 98
percent of the continental U.S. with three distribution centers is
developing a fundamentally more capital efficient, structurally
superior margin model vis-à-vis the traditional grocery model.
Company Highlights:
- In Q1 2018, Sun Basket hit
$275M ARR
- Sun Basket grew net revenue over
280 percent YOY
- Sun Basket has up to 3x the
retention rate of major competitors according to a leading
third-party analytics platform
- Sun Basket has been ranked the
number one meal kit two years in a row by Buzzfeed
- Sun Basket maintains
structurally higher margins due to its premium product
offering
"Over the past year, Sun Basket
has grown immensely in customers served, products offered, team
size, and overall sales," said Adam
Zbar, CEO and co-founder of Sun
Basket. "As we scale the business in 2018, we are excited to
have August Capital on board, given its track record of helping
numerous innovative companies grow while maintaining strong unit
economics and great product quality."
A Look Ahead: Expanded Healthy Personal Choice Platform™ and
Upgraded Distribution Centers
This new funding will be used to further build a true foodtech
company that provides customers even more choice and personalizes
their Sun Basket meals by leveraging
their transaction data, dietary needs, and preferences. In 2018,
Sun Basket will continue expanding
its Healthy Personal Choice Platform, furthering its mission of
becoming the "Netflix of Food." Along with expanding its offerings
focused on personalized nutrition through food, with the
introduction of Vegan, Mediterranean, and Pescatarian menu
offerings, the meal kit innovator is also launching new, larger
distribution centers on the East Coast and in the Midwest in Q1
2018. Sun Basket will also maintain
a laser focus on solving key needs for consumers, such as making
healthy cooking easy, delicious, and personalized to their
lifestyle and dietary needs.
August Capital's partnership brings a wealth of experience in
scaling tech companies, including Zulily, BarkBox, Turo, Fastly,
Avant, and more. With the investment in Sun
Basket, Tripp Jones, general
partner of August Capital, has joined the company's board of
directors.
"Sun Basket has achieved
incredible growth and industry-leading unit economics in just a few
years since launch," added Jones. "We're thrilled to partner with
Sun Basket in its next phase as the
company continues to scale rapidly and build out its healthy
personal choice platform, which has the power to disrupt the
$650 billion grocery market by
providing consumers a healthier, easier, and more personal way to
cook and eat delicious food."
The round also included Sapphire Ventures, Accolade Partners,
Founders Circle, Rembrandt Venture Partners, Vulcan Capital,
Relevance Capital, Unilever Ventures, and Correlation Ventures.
For more information about Sun
Basket, please visit www.sunbasket.com.
About Sun
Basket
Founded in San
Francisco in 2014 by Webby-winner Adam Zbar and Chef Justine Kelly, the former Head Chef at the
Slanted Door, a James Beard
Award-winning restaurant, Sun Basket
is an innovative healthy cooking service, which delivers the best
pre-measured organic produce & sustainable ingredients and
easy, delicious recipes weekly to your door. Sun Basket saves busy people the time of
planning and shopping so they can focus on the fun part of cooking
and enjoying a meal. Personalized for your lifestyle and diet,
Sun Basket provides a seasonally
inspired Chef's Choice meal plan, along with Paleo, Lean &
Clean, Gluten-Free, Vegan, Vegetarian, Pescatarian, and
Mediterranean options. Located in San
Francisco, Sun Basket is
backed by top-tier venture capitalists. Don
Barnett, co-founder of organicgirl produce, is the COO. For
more information, please visit https://sunbasket.com or find the
brand on Facebook, Instagram, Pinterest or Twitter.
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SOURCE Sun Basket