Nov 28, 2018

Scoop: Marijuana delivery startup Eaze is raising $65 million

Illustration:Rebecca Zisser/Axios

Marijuana delivery service Eaze is in the process of closing $65 million in venture capital funding that would give it a valuation in excess of $300 million, Axios has learned.

The bottom line: This is basically Uber for pot, except the actual delivery workers are legally required to be W-2 employees. And, like Uber in the early days, it's beginning to raise big money.

San Francisco-based Eaze is familiar to many in California, particularly in Los Angeles where it has giant billboards with taglines like "for super chill vibes" and "for pesky hangovers."

  • The San Francisco-based company only currently delivers within California, but did recently launch a marketplace for shipping cannabidiol products to 41 states and Washington, D.C.
  • A source close to the deal says he expects Eaze to primarily focus its on-the-ground expansion to states that have legalized recreational marijuana, as that's viewed as a much larger long-term market than medicinal. In California it does both.

The largest new investor is serial entrepreneur Jim Clark, who co-founded both Silicon Graphic and Netscape. Return backers include VC firm DCM, whose partner David Chao sits on the Eaze board of directors and is a user of medicinal marijuana.

An Eaze spokesperson declined comment.

Go deeper

Coronavirus dashboard

Illustration: Axios Visuals

  1. Global: Total confirmed cases as of 10 a.m. ET: 1,139,207 — Total deaths: 60,874 — Total recoveries: 233,807Map.
  2. U.S.: Total confirmed cases as of 10 a.m. ET: 278,537 — Total deaths: 7,163 — Total recoveries: 9,920Map.
  3. Public health latest: The CDC is recommending Americans wear face coverings in public to help stop the spread of the coronavirus. The federal government will cover the costs of COVID-19 treatment for the uninsured, Health and Human Services Secretary Alex Azar said.
  4. 2020 latest: "I think a lot of people cheat with mail-in voting," President Trump said of the 2020 election, as more states hold primaries by mail. Montana Gov. Steve Bullock said Friday that every county in the state has opted to expand mail-in voting for the state's June 2 primary.
  5. Business updates: America's small business bailout is off to a bad start. The DOT is urging airlines to refund passengers due to canceled or rescheduled flights, but won't take action against airlines that provide vouchers or credits.
  6. Oil latest: A pivotal Monday meeting among oil-producing countries to discuss supply curbs is reportedly being delayed amid tensions between Saudi Arabia and Russia.
  7. Military updates: Senators call for independent investigation into the firing of Navy captain of the U.S.S. Theodore Roosevelt. The U.S. military is struggling to find new recruits as enlistment stations are shut down.
  8. What should I do? Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  9. Other resources: CDC on how to avoid the virus, what to do if you get it.

Subscribe to Mike Allen's Axios AM to follow our coronavirus coverage each morning from your inbox.

The renaissance of the American family

Illustration: Eniola Odetunde/Axios

It used to be scarce and hard-earned, but suddenly family time is abundant in the era of shelter-in-place.

Why it matters: For the first time since the early 19th century, many parents and kids — and even grandchildren — are all under the same roof round-the-clock. And if past periods of emergency are any guide, this enforced togetherness could deepen our relationships for years to come.

Go deeperArrow4 hours ago - Health

Biden says he's starting VP search this month

Joe Biden. Photo: Scott Olson / Staff

Joe Biden said he's spoken to Sen. Bernie Sanders and former President Barack Obama about selecting a running mate — and that he wants to build "a bench of younger, really qualified people" who can lead the nation over the course of the next four presidential cycles.

Driving the news: Biden spoke about the state of the 2020 race during a virtual fundraiser on Friday night that was opened to pooled coverage.