With its latest funding round, Misfits Market will keep expanding into new categories, having already doubled its selection of grocery items in the past four months.
E-grocer Misfits Market has closed a $225 million Series C-1 funding round led by SoftBank Vision Fund 2, with participation from Accel. The investment brings the company’s valuation to $2 billion and the overall funding raised by Misfits Market to $526.5 million. The online retailer plans to use additional capital to back national expansion and boost the selection of items available to customers.
Following Misfits Market’s Series C round in April 2021 and during a key period of change in the wider grocery industry, the company has seen sustained growth as it works toward its goal of eliminating U.S. food deserts by 2025. With this new round, the company will keep expanding into new categories, having already doubled its selection of grocery items in the past four months. Misfits Market’s recent rollout of proteins, in tandem with the launch of its Dallas warehouse facility, has resulted in the delivery of more than 100,000 pounds of chicken, 48,000 pounds of steak and 34,000 pounds of salmon in just 10 weeks.
“We have seen tremendous growth in 2021 and still have a number of grocery categories lined up and ready to be introduced to the Misfits Market ecosystem,” noted Abhi Ramesh, CEO and founder of Delanco, N.J.-based Misfits Market. “We’ve been laser focused on building our food value supply chain, and this capital infusion enables us to deploy it nationwide and continue realizing our vision for a better grocery experience. Shoppers have responded, and proven there is a market and an appetite for online grocery platforms that make quality food accessible and affordable. We’re ready to bring Misfits Market into the kitchens of all Americans.”
As part of the Series C-1 round, Lydia Jett, an investor and partner at London-based SoftBank Investment Advisers, will join Misfits Market’s board of directors.
“We believe Misfits Market has a deep understanding of the inefficiencies in the food supply chain and are building their own from the ground up to radically change the way food makes its way to the consumer,” said Jett. “I’ve been tremendously impressed by the focus and tenacity of Abhi and the Misfits Market team. We’re excited to partner with the company as they expand their product offering and fulfill their mission to provide everyone access to high-quality, affordable food.”
In August, Misfits Market expanded to the states of Arizona, New Mexico, Nebraska and Oklahoma, and earlier in the summer, the company embarked on a mobile tour, setting up pop-up trucks at 18 sites in the South, East Coast and Midwest regions of the United States.
Misfits Market delivers fresh organic produce, quality proteins, sustainably sourced pantry staples, and other grocery items to nearly every ZIP code in 43 states at up to 40% off traditional grocery store prices. So far, the company has delivered boxes to more than 26,000 ZIP codes nationwide.