Rohlik announced on Thursday that it has raised funds of €100 million ($119 million) in its Series C fundraising, bringing the company’s valuation to €1 billion ($1.2 billion). This, according to the company, will give Rohlik the boost needed to accelerate its growth in the ever-booming e-commerce sector.
Rohlik is Central Europe’s leading virtual grocery supermarket. It started in Czech where it was founded and is active in Hungary and Austria. Rohlik’s virtual supermarket has more than 17,000 items an ensures that deliveries are made in as little as two hours after an order has been made. The company stands out for its basic formula of a mix of its own-purchased-in wholesale items, goods from partners like Marks & Spencer, and products sourced from smaller and local businesses.
Index Ventures, which previously partook in Rohlik’s Series B fundraising where it raised $230 million, led the Series C fundraising round. Previous backers who also participated in this latest round include Partech and Quadrille Capital. The newly secured funding is expected to accelerate the company’s speed faster than originally intended, bolstering Rohlik’s efforts in the scopes of new market entries, fulfilment center automation, and the overall pace of innovation.
That the company is able to raise €100 million in its Series C round, three months after raising $230 million in its Series B round comes as no surprise. The COVID-19 pandemic greatly influenced people’s mode of eating and acquisition of food items. Many people started to buy food online and get it delivered to their homes rather than picking it and paying in person. Demand for online and delivery services tripled, and this presented tech and online delivery services companies, such as Rohlik, the opportunity to build more efficient models to deliver goods to customers, and more importantly, to make more money. According to Rohlik’s founder and CEO, Tomáš Čupr, Rohlik’s average shopping is about €60 to €100 per order, with customers shopping at least once per week. The company is yet to disclose its revenue figures for 2021, which would tell on how its expansion is going, however, its revenues in 2020 exceeded €300 million, with over 750,000 customers.
The company is known by other names in other markets. In Hungary, it is called Kidli.hu, and Gurkerl.at in Austria. In Germany, it will be called Knuspr.de. The funds raised are expected to facilitate the company’s plans of expansion to other parts of Europe, which include Romania, Italy, France, and Spain.