Frozen food delivery service Daily Harvest has secured $43 million in a series B funding round as it aims to accelerate product development and reach more customers.
The round was led by Lightspeed Venture Partners, with significant participation from VMG Partners. Additional investors included chef Bobby Flay, Olympic gold medallist Shaun White and actress Haylie Duff.
Launched in 2015 with the aim of helping consumers integrate more unprocessed fruits and vegetables into their diets, Daily Harvest has 100,000 subscribers in the US and expanded its line of pre-portioned cups to include smoothies, overnight oats, chia parfaits, sundaes, and soups.
By partnering directly with organic farms, the brand said it is able “to harvest produce at peak ripeness and freeze it on-site, locking in nutrients that typically degrade during the traditional grocery supply chain”.
The latest investment follows on from a Series A funding round earlier this year which included Oscar-winning actress Gwyneth Paltrow and tennis Grand Slam champion Serena Williams.
Daily Harvest CEO Rachel Drori said: “We’re thrilled about Lightspeed and VMG coming onboard to help scale our business. Their combined expertise in the technology and consumer sectors will help us realise our mission of making functional, nutrient-dense food accessible and convenient, ultimately contributing to the democratisation of wellness.”
Alex Taussig, partner at Lightspeed Venture Partners, added: “Daily Harvest is the first major innovation in the frozen category since TV dinners were introduced in the 1950s.
“Rachel and her team understand the modern consumer’s relationship with food and have been able to deliver high-quality product that can be prepared in minutes via their subscription service.
“Daily Harvest is one of the fastest growing and most capital efficient e-commerce businesses we’ve seen at Lightspeed. We’re thrilled to partner with Rachel and her team on their mission to reinvigorate your freezer.”
© FoodBev Media Ltd 2019