GrubMarket achieves $3.5 billion valuation in funding round

GrubMarket, a leading food tech company based in San Francisco, has successfully raised $50 million in a new funding round. This investment pushes the company's valuation to over $3.5 billion. The funding round received backing from several investors, including Liberty Street Funds and 3Spoke Capital. GrubMarket’s founder and CEO, Mike Xu, highlighted the company's rapid growth. In 2024, they reported revenues exceeding $2 billion and claimed the title of the largest private food technology company in the U.S. GrubMarket, which started in 2014, operates in over 70 countries and serves customers in all 50 U.S. states and Canada. The company employs more than 12,000 people. A significant portion of its recent growth has come from acquiring other companies that use GrubMarket's software for sales, inventory management, and logistics. Xu explained that the funding will help enhance their focus on artificial intelligence. While the funding was not essential for survival, it allows the company to better reflect its growth and technological advancements. One of GrubMarket’s innovations includes Farm-GPT, an analytics tool that helps farmers make informed decisions based on real-time data. The company has a suite of AI-powered tools that provide business insights and analysis. GrubMarket has also made its mark on CNBC's annual Disruptor 50 list, being ranked 23rd in 2024 and 41st in 2023.