GrubMarket, an AI-powered technology enabler and digital transformer of the American food supply chain industry and the largest private food technology company in the US announced that it raised around $50 million in a significantly higher valuated Series G funding round from Liberty Street Funds, 3Spoke Capital, ROC Venture Group, Portfolia, Pegasus Tech Ventures, Joseph Stone Capital, and other unnamed participants. This funding round values GrubMarket at over $3.5 billion.
As the only Enterprise AI solutions provider for the American food supply chain, a first mover in the tech-enabled B2B food eCommerce space, and a pioneer providing AI-powered software-as-a-service solutions, GrubMarket uses technology to transform the American and global food supply chain fundamentally. GrubMarket’s customers include thousands of grocery stores, including almost all nationwide grocery store chains, restaurants, hotels, schools and universities, corporate offices, government facilities and bases, online food delivery companies, farms, and individual consumers. GrubMarket was also named to the prestigious CNBC Disruptor 50 list for two consecutive years, both in 2023 and 2024.
GrubMarket’s Sustainable California initiative has been actively running since 2023, serving as a multi-faceted, company-wide initiative to preserve California’s farming environment, empower farmers, and reinvigorate the state’s fragile agricultural ecosystem. Since its founding, this initiative has promoted organic farming practices, supported reforestation, and developed innovative technologies for a more resilient and sustainable food system. Sustainable California has sponsored the successful planting of thousands of trees in diverse regions throughout the state, supported California farmers seeking organic certification, and contributed efforts toward protecting the State’s soil, water, and farmlands to ensure future agricultural prosperity.
For this year, GrubMarket’s Sustainable California initiative aims to support the Los Angeles area with environmental restoration following the recent catastrophic wildfires by sponsoring a reforestation project to plant trees throughout the region in partnership with non-profit reforestation organizations.
This funding round follows a series of major milestones for the company. And GrubMarket released GrubAssist AI, the first Enterprise AI software solution suite built specifically for the food supply chain, featuring an innovative, patent-pending Business Analyst AI assistant that uses AI large language models to deliver a transformative business intelligence experience for users; the patent-pending AI Orders agent, which employs AI technology to collect and convert offline ordering information from voicemails, PDFs, and emails into accurate digital orders; and the Cash Flow Analyst AI assistant, which utilizes AI to predict cash flow patterns and trends for food wholesalers and distributors.
Last year, the company also expanded to South Africa; acquired one of the largest foodservice companies in Texas; and acquired Good Eggs, a major online grocery provider on the West Coast, turning it around to achieve net profitability within the first two months after acquisition, after over a decade of net financial losses.
GrubMarket now operates in all 50 U.S. States and has a global presence in Argentina, Canada, Chile, Colombia, Egypt, India, Mexico, South Africa, and Spain, with plans to expand further across the U.S., Canada, South America, Europe, Africa, and other parts of the world. And the company does business in over 70 countries globally and has over 12,000 employees.
KEY QUOTES:
“GrubMarket has experienced an incredible acceleration in growth over the last 12 months – our revenues surpassed $2 billion in 2024, and we became the largest private food technology company in the United States, while continuing to maintain a strong and healthy financial bottom line. As our business model is highly sustainable, this funding round was not a necessity, but rather an opportunity to align our valuation with the scale and strength of our business growth, our AI tech innovations, and the significant value we create for the industry. In 2024, GrubMarket released the first Enterprise AI software solution suite for the American food supply chain industry. We are proud to innovate within this industry and for this industry. With the help of our patent-pending AI solutions, the lagging American food supply chain industry will be able to catch and ride the massive American and global AI technology wave that has been moving across all industries. This Series G funding will turbocharge our AI software and business growth and extend our eCommerce reach globally. We will increase our investment in people, financial infrastructure, technology, and acquisitions. Above all, we will continue to operate a sustainable business as the foundation of this company.”
– Mike Xu, CEO of GrubMarket
“GrubMarket has rapidly grown into a major food technology company by leveraging best-in-class AI-powered software solutions and strong operational discipline. The company’s growth and scale are supported by established business fundamentals and a commitment to sustainability, benefiting farmers in California and across the U.S. Through persistent innovation in AI enterprise solutions, vertical SaaS operations software, and its eCommerce platform and ecosystem, GrubMarket has become a pioneer in transforming the trillion-dollar American food supply chain industry. Our fund is delighted and honored to be a part of GrubMarket’s exciting journey ahead.”
– Kevin Moss, President of The Private Shares Fund and Managing Director of Liberty Street Advisors
“ROC Venture Group continues to invest in GrubMarket, because its technology is transforming the highly fragmented and outdated U.S. food supply chain—eliminating waste, optimizing operations, and delivering fresher, more affordable produce to Americans. Ensuring access to nutritious food should be our foundation—because without it, nothing else truly matters.”
– Aaron Stafford, managing partner of ROC Venture Group
