Foodtech startup Deliveroo raises $385M; valuation hits $2B

Britain's food delivery company Deliveroo has raised $385 million in a new round of funding at a valuation of over $2 billion. The Series F funding was led by US Fund Managers  T. Rowe Price, Fidelity, AirBnB and Tesla — with the existing investors DST Global, General Catalyst, Index Ventures, and Accel Partners also following in.

Will Shu, Founder and CEO of Deliveroo, said "So I am extremely pleased that our new investors share this vision and have decided to make such a significant investment in our future. With this funding, we will invest further in our delivery-only kitchens Editions, in developing our technology and in taking Deliveroo to more towns and cities. This investment will take us to the next level and allow our riders to deliver ever more great food directly to people's doors."

Deliveroo is now available in more than 150 cities across 12 countries, including Australia, Belgium, France, Germany, Hong Kong, Italy, Ireland, Netherlands, Singapore, Spain, United Arab Emirates, and the United Kingdom.

The company said that it will use the money across three “priority growth areas,” namely, boosting its kitchens-only Editions program that launched in London back in April; expanding its technology team, including investments in artificial intelligence (AI) systems; and launching in new markets.

The latest funding round takes total investment in Deliveroo to $857 million. Although the company has breached the $2 billion mark, it has a long way to go before it can match up with its rivals Delivery Hero with $7.11bn valuation and Just Eat's $5.57 billion valuation.