EzCater Reaches Unicorn Status With $150M Funding Round
Online business catering marketplace ezCater raises $150 million at a $1.25 billion valuation, achieving unicorn status. The company plans to briefly celebrate before continuing its rapid growth.
EzCater secures a $150 million Series D-1 investment at a $1.25 billion valuation, officially reaching unicorn status. Lightspeed Venture Partners and GIC co-lead the round, with additional participation from Light Street Capital, Wellington Management, ICONIQ Capital, and Quadrille Capital. Chief executive officer Stefania Mallett negotiates the final terms at the same Boston kitchen table where she co-founded the company in 2007.
The online marketplace operates similarly to Expedia by connecting corporate customers with 60,500 restaurants and caterers across the U.S. without directly handling any food or making deliveries. This asset-light model drives 100 percent annual growth for the last eight years. Despite this impressive expansion, the company remains unprofitable like many other tech unicorns.
Mallett admits the company does not strictly need the capital, as substantial funds remain from a previous $100 million raise just ten months ago. The leadership team simply wants to secure a strong financial buffer against potential economic downturns or a venture capital funding winter. After a brief celebration with unicorn cupcakes, the team returns to work to build on their current momentum.