CPE News (7/13/2020) – Foodee has disclosed the acquisition of Chewse from Foundry Group and others. The acquisition closed in March 2020. Financial terms were not disclosed.
Founded by Tracy Lawrence and Jeff Schenck, Chewse is an office catering company servicing the San Francisco Bay Area, Austin, and Chicago. Chewse had raised US $30 million from Foundry Group, 500 Startups, Gingerbread Capital, Telegraph Hill Capital and others.
Foodee has also disclosed the closing of a $13 million funding round primarily in debt. The debt portion came from an unnamed Canadian bank and the “equity” portion came from Kensington Capital via the BC Tech Fund, Structure Capital, BDC Capital, and Chewse’s principal investor Foundry Group.
photo credit: Foodee
Foodee acquires US competitor Chewse to bring individual office meals to the Bay Area
VANCOUVER, BC, July 13, 2020 /CNW/ – Foodee, the leading office catering platform for individually packaged meals, today announced it has acquired Chewse, a leading office catering company servicing the San Francisco Bay Area, Austin, and Chicago. This is the first acquisition for the Canadian company.
Foodee will transition Chewse clients on family-style plans to individually packaged meals. The company is working closely with clients and their HR and administrative teams to deliver meal programs that meet the requirements of workplace health and safety guidelines. As modern offices rethink the future of work, Foodee is able to meet their needs by providing flexibility, cost-efficiency, and safety assurance.
“As clients all over North America discuss their return to work plans with us, they are quickly making the switch from platters of shared food to smartly packaged meals,” says Foodee CEO, Ryan Spong. “Modern offices in the Bay Area adapting to a hybrid work model have been exceptionally receptive to our meal planning platform and the switch to individually packaged meals.”
Foodee’s acquisition closed alongside a strategic financing. The company raised $13M in a mix of equity led by BDC Capital paired with debt, provided by a major Canadian bank. Through their bridge financing program, BDC Capital matched funds raised by the companies’ existing investors, including Kensington Capital via the BC Tech Fund and Structure Capital as well as new investor, Foundry Group.
“Foodee is a leading meal and catering platform focused on corporations and was growing aggressively until the COVID-19 forced offices to close,” says Robert Simon, Senior Managing Partner, IT Venture Fund at BDC Capital. “As the economy re-opens across North America, the company’s model is particularly well-suited in a social distancing environment by delivering individually packaged meals reducing elevator traffic and increasing employee safety. With their acquisition of Chewse, Foodee is poised to scale and we are proud to support their success in these challenging times.”
Foodee Media Inc. is elevating office culture and building more sustainable, vibrant communities with great corporate meal planning technology. Foodee partners exclusively with local restaurants, bringing diverse cuisines and customizable meal programs to the city’s workforce. Since 2013, Foodee has been serving 15 cities in North America and is a longtime leader in individually packaged office meals. For the last 3 years, Foodee has been recognized as one of the fastest growing technology companies in Deloitte’s Fast 50 program.
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