Door Dash has now raised a total of $2 billion
Food-delivery company Door Dash just raised $600 million in a Series G funding, which values the company at an impressive $12.6 billion. The company just had its Series F round three months ago where it raised $400 million.
The latest investors in the company were Darsana Capital Partners and Sands Capital. SoftBank (SFTBY) and Sequoia Capital are some of the previous notable backers of the food-delivery company. The company has raised $2 billion in total. Door Dash and Uber (UBER) Eats have given the market leader in the US, GrubHub (GRUB), a run for its money. GRUB fell 3.5% after the news and has declined 36% in the past year due to stiff competition, mainly from these companies.
Door Dash has been focusing on the suburbs
Door Dash has seen tremendous growth over the past year and has gained market share over its rivals. While GrubHub’s growth has been decent as the graph above shows, it has been dwarfed by Door Dash’s. The valuation of Door Dash is over twice that of market leader GrubHub, which is currently valued at only $6.0 billion.
Door Dash has smartly targeted the suburbs, which most of its competitors have ignored. The company is now active in more than 4,000 cities in the US and Canada.