Index Ventures takes a slice of Just-Eat
The online takeaway service is backed for £10.5m
The company that enables you to order from local takeaways online has secured £10.5m, in what has been hailed as the largest ever funding round in this category.
Just-Eat’s first round of institutional investment was led by Index Ventures, the venture capital firm behind Skype, Last.fm and MySQL. Venrex Investment Management and existing shareholders also participated.
Founded in Denmark in 2001, Just-Eat has more than 6,000 European restaurants on its database, almost 3,000 of which in the UK, and most of which are local, independently run businesses.
More than a million meals are ordered through Just-Eat every month, with the service currently available in the UK, Ireland, Denmark, Holland, Belgium and Sweden.
Klaus Nyengaard, CEO of Just-Eat, said the investment would fund expansion into more European territories. “Our mission is to give people around the world an easy, fast, and dependable way to order takeaway food online from their favourite neighbourhood restaurants,” he said.
“This new round of funding will help us further expand our restaurant network and continue to provide the best possible choice and service to our customers.” Index Ventures, which has backed some of the world’s foremost tech start-ups in recent years, was no doubt excited by Just-Eat’s proprietary technology. Its system connects directly to the kitchens of every restaurant on the network and instantly returns an estimated delivery time to customers.
“The home delivery market is growing at 9% per year and it has proved to be a profitable business even in recessionary periods,” said Ben Holmes, partner at Index Ventures.
“Just-Eat clearly has the best technology and processes in the industry as well as a strong team and proven traction among consumers and restaurants.” © Crimson Business Ltd. 2009