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RPT-Doordash backs round valuing delivery startup Flink at $2.5 billion - sources

RPT-Doordash backs round valuing delivery startup Flink at $2.5 billion - sources

reuters.com · 09/24/2021 07:12
RPT-Doordash backs round valuing delivery startup Flink at $2.5 billion - sources

Repeats story with no changes to text

- U.S. food delivery company Doordash DASH.N is backing a new funding round at quick-delivery company Flink that values the Berlin-based startup at $2.5 billion, sources familiar with the matter said on Friday.

The $600 million capital call follows a $240 million fund raising in June at Flink. The company, founded at the turn of the year, specialises in delivering groceries within minutes of a customer placing an order on a smartphone app. nL5N2NM0G5

Flink competes with other upstart companies like Gorillas and Getir in an increasingly crowded marketplace for so-called "quick commerce", where growth is explosive but profits have so far yet to materialise.

At the same time, more established food delivery players, like Doordash or Germany's Delivery Hero DHER.DE, are becoming more acquisitive amid signs the industry could enter a period of consolidation.

Flink's Series A funding round in June was led by Dutch-based consumer internet investor Prosus PRX.AS, San Francisco technology investor BOND, and Mubadala Capital, which is part of Abu Dhabi's sovereign wealth fund.

The sources familiar with Flink's latest funding round said that these existing investors had also chipped in.

Flink declined to comment while Doordash was not immediately available for comment outside U.S. office hours. Bloomberg first reported that Doordash was backing Flink although its report put a lower company valuation of $2.1 billion on the round.


(Reporting by Nadine Schimroszik and Matthias Inverardi, Writing by Douglas Busvine. Editing by Jane Merriman)

((douglas.busvine@tr.com; +49 30 220 133 562;))