Sweetgreen has raised $US200 million in a new round of funding led by Fidelity Investments, the chain announced Tuesday. The company is now valued at over $US1 billion.
This round of funding will bring its total equity raised to approximately $US365 million.
The fast-casual salad chain has grown rapidly since it launched in 2007, opening stores around the United States and launching a mobile ordering platform.
Sweetgreen, the fast-casual salad chain that’s known for its cult-like following and drawing long lines during lunchtime hours, is now valued at over $US1 billion.
On Tuesday, the chain announced it had raised $US200 million in a round of funding led by Fidelity Investments, bringing its total funding to $US365 million.
“As a company we are focused on democratizing real food,” Jonathan Neman, co-founder and CEO of Sweetgreen, said in a statement to the press on Tuesday. “Our vision is to evolve from a restaurant company to a food platform that builds healthier communities around the world.”
The company plans to use the funding to invest in its app, open new locations, and expand its new Outpost service, a new no-fee delivery system in corporate offices. 15 locations are currently operating this new service. Neman told Forbes that the company could have more than 2,000 in place by the end of next year.
Sweetgreen was launched in 2007 by Neman and his two Georgetown University classmates, Nathaniel Ru and Nicolas Jammet. Since then, it has expanded quickly, opening stores around the US and launching a mobile ordering platform to reduce long lunchtime lines.
As the company is private, it does not report sales numbers. According to Crunchbase, it has received $US128.6 million in funding so far.
In a recent interview with Bloomberg, its founders discussed plans to grow its store base to 100 by the end of the year and expand its digital service.
According to Neman, the company’s online ordering revenue is increasing at a rate of 80% year over year.
“By the end of 2018, we will have over 1 million people on our digital platform, and over 50 per cent of orders will be processed through our app or online platforms,” he told Bloomberg in March.