GRAND RAPIDS — Organic food delivery service Doorganics LLC has been acquired by venture capital-backed GrubMarket Inc. of San Francisco, Calif.
The deal will allow Doorganics to use GrubMarket’s e-commerce network and supply chain as it works to expand its service offerings across the Midwest, according to a statement.
Founder Mike Hughes and the leadership team will remain with Doorganics, which will keep its Grand Rapids headquarters.
“GrubMarket believes in the importance of supporting local farmers and producers, while recognizing the essential role that technology can play in food e-commerce,” Hughes said in a statement.
For GrubMarket, the acquisition of Doorganics provides “another key step” in the company’s national expansion plans, according to CEO Mike Xu, who called Doorganics “one of the premier farm-to-table grocery delivery services in the Midwest.”
Terms of the deal were not disclosed.
Earlier this year, GrubMarket raised $28 million in Series C funding in a round led by Digital Garage Inc. and WI Harper Group, and that included an investment from Evolv Ventures, a fund backed by food and beverage conglomerate Kraft Heinz Co. The company also has been on an acquisition spree, scooping up several wholesalers and food companies, mostly in Southern California.
GrubMarket also recently launched its GWholesaler software-as-a-service platform tailored to the food industry supply chain.
Founded in 2011, Doorganics grew its service from the Grand Rapids metro area to also include Traverse City and parts of metro Detroit, as MiBiz previously reported.
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