Nestlé leads $77 million round in prepared meal startup Freshly
Nestlé USA has led a new $77 million funding round for New York-based Freshly, which sends weekly batches of prepared meals to customers who get to pick from a rotating selection of 30 dishes.
What it means: Big food conglomerates are paying attention to the recent food consumption trends. Unilever previously invested in meal-kit startup Sun Basket, while Campbell Soup Co. poured $10 million into one called Chef'd. Freshly also part of the growing health food craze, which big food companies have had to adjust to.
Synergies: Nestlé is expected to lend its expertise in food sourcing and R&D to Freshly, while receiving an look into Freshly's customer base and operations.
Deal details: As part of the deal Jeff Hamilton, president of Nestlé USA's Food Division, is joining Freshly's board of directors. Existing investors Highland Capital Partners, Insight Venture Partners, and White Star Capital also participated in the round.