- General
- September 18, 2018
- 4 minutes read
Postmates nabs $300 million investment at reported $1.2 billion valuation
image source : Postmates San Francisco based delivery logistics startup Postmates has raised $300 million in a new round led…
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| image source : Postmates |
San Francisco based delivery logistics startup Postmates has raised $300 million in a new round led by Tiger Global, The renowned NY based tech focused hedge fund whose partner Scott Schleifer will now be joining Postmates board as part of this deal.
Although the company’s press release doesn’t mention of a valuation, Fortune reports this round values the company at $1.2 billion marking another entry into the unicorn club and one notable addition for the delivery and logistics scene which counts one of Postmates main competitor DoorDash valued at $4 billion from a previous funding round as another major player.
Through a balance of smart unit economics and a sustainable growth strategy, Postmates which offers on-demand delivery for a vast range of items has established itself as a market leader in the rapidly growing delivery sector as more people take to delivery services while boosting the gig economy ecosystem.
The company has now raised over $570 million in total with this round making up the vast sum of the amount raised, Postmates was last valued at $600 million from a $140 million round 2 years ago with this investment led by Tiger Global representing a doubling of its valuation.
“The transformation of how commerce moves in cities demands that we build the most innovative tools for businesses to keep up and distribute their products to the modern consumer–efficiently and cost effectively,” Postmates CEO and Co-Founder Bastian Lehmann said. “Postmates is proud to be the first and largest on-demand network that is enabling the growth of retail across the country, and today’s investment accelerates our ability to pair technology with the vitality of our neighborhoods.”
Postmates which now says it’s generating over $1 billion annually in Gross Merchandise Volume (GMV) and is profitable in 90% of its markets is directing this new funding towards expansion of its select advantage, broadening of its coverage to over 70% of U.S. households by the end of this year, development of new point-of-sale integration technologies, deployment of state of the art API tools, scaling of social investments & new workforce development policies and investment in cutting edge research & development for creation of new last-mile mobility solutions as per its statement.
