Berlin-based Flink, a quick-commerce unicorn, which sells food and other supplies and promises delivery in under 10 minutes, has raised $150 million in funding. The round is split into $115 million in equity and $35 million in debt. It comes from new and existing investors, including BOND, Mubadala, that backed FirstVet and Storyblok, Northzone that recently invested in Mimo and Reonic, and supermarket giant REWE alongside other investors.
Flink will use the funding to double down on business in Germany and the Netherlands in partnership with Just Eat Takeaway.com. This follows the rumored €100 million fundraising in April this year to extend its runway and try to outlast its competitors.
In addition to this, the company has announced a preferred partnership with Just Eat Takeaway.com to help it further enhance its market reach in Germany and the Netherlands.
Exhibited strong performance
As per Flink, it has positioned itself as the key player in the European quick commerce space. The company is on track to achieve gross revenues of $600 million in 2024, reflecting a growth rate of approximately 20% year-on-year (excluding one-off market exit costs in France). The company’s average order value now exceeds $40.
Flink has already reached EBITDA break-even on a country-by-country basis and is aiming for full profitability by Q2 2025. The company’s operational network continues to grow, with 146 hubs currently active across more than 80 cities in Germany and the Netherlands. It also plans to open 30 new hubs in both markets in the coming 12 months.
The company’s workforce has also surpassed 8,900 employees, underpinning its rapid growth and commitment to customer satisfaction.
10-minute rapid delivery
Launched in 2020 by Oliver Merkel, Julian Dames, and Christoph Cordes, Flink is one of many European delivery services that deliver fresh goods to customers’ doors in minutes. It collaborates with large merchants and relies on them for those agreements, rather than trying to grow up to have the best negotiating leverage for buying goods.
Flink’s goal in growing has been to keep the concept of quick food delivery as normal as possible and make it available to as many people as possible, not simply young urbanites with discretionary income.
Previously, Flink raised $750 million in a Series B round led by DoorDash at a $2.1 billion valuation. Later, it raised more funding, which took its valuation to nearly $5 billion. In 2022, it acquired a competitor, Cajoo, in a move that gave it access to the French grocery chain Carrefour and an opportunity to grow in France.
On-demand grocery market in Europe
The battle for online food and grocery delivery supremacy has recently been fought in Europe, particularly in Germany. In 2022, rival delivery company Getir was in discussions to buy Flink but it bought German firm Gorillas for $1.2 billion later in the year.
Getir aimed to dominate the rapid grocery delivery sector, which saw a surge in demand during the pandemic. After acquiring Gorillas, it focused its operations in five countries: Turkey, the United Kingdom, Germany, the Netherlands, and the United States. In 2023, the company acquired FreshDirect with ambitions to grow in the United States.
“With the support of our investors, we are entering an exciting new phase of growth. This investment will enable us to further expand our footprint, improve operational efficiency, and continue delivering the fast, reliable service that our customers rely on,” said Dr. Oliver Merkel, founder and managing director of Flink.