Food delivery startup DoorDash has raised more than half a bil’ in a new funding round led by Softbank, which now values the company at $1.4B.
DoorDash originally sought $200m, but a bidding war erupted between Softbank and some of the other investors, including one of their return backers, GIC.
Cut to: DoorDash strutting down the street with a big wad of cash, burning a hole in their wallet.
Softbank has made it pretty obvious how they feel about the budding on-demand economy, recently backing the money truck up to companies like Wag and Uber.
With their new investment, the firm now has a stake in two food delivery companies: DoorDash, and UberEATS — and Axios speculates the latest move could signal a future acquisition.
DoorDash is in the fresh stages of a highly promising market.
According to their co-founder and CEO Tony Xu, only 5% of U.S. restaurant takeout is currently scheduled online — which means the market is green and growing for the company and their competitors.
And DoorDash is well aware of this: With the money, they plan to increase their corporate headcount from 550 to around 800, while expanding to nearly triple the cities they currently operate in from 600 to 1,600.
No pumpin’ the breaks for this delivery company.