US-based mobile commerce platform Boxed raised $111m yesterday in a funding round led by retail group Aeon that valued it at $600m, a person familiar with the agreement told the New York Times.
The round included CDIB Capital, a subsidiary of holding group China Development Financial, as well as family office Alpha Square Group, private investor Gabriel Naouri and undisclosed existing backers.
Founded in 2013, Boxed operates an app-based platform that sells goods such as groceries, cosmetics, household products and office supplies in bulk to customers at wholesale prices.
The company has also developed and built its own custom robots to automate and accelerate processing at its New Jersey facility. It intends to put the latest funding toward increasing automation, and is exploring the possibility of building a second facility in the Chicago area.
Chieh Huang, co-founder and chief executive of Boxed, said: “Our industry is constantly evolving. Our latest fundraising efforts will allow us to capitalise on those changes.
“We will also continue to expand our national footprint by focusing on reaching our core consumer in various key markets, to increase national brand awareness of Boxed.”
Nomura Securities International was placement agent for the round, which followed an investment of undisclosed size by American Express Ventures, the venture capital arm of payment services firm American Express, in May 2016.
The Amex investment came four months after Boxed raised $100m in series C funding from hedge fund Light Street Capital, investment group Safa Partners and undisclosed existing backers at a $470m valuation.
Boxed had previously raised $32.6m, including $25m in a series B round co-led by GGV Capital and DST Global and backed by AME Cloud Ventures, Founders Fund, First Round Capital, Vaizra Investments, Greycroft and Signia Venture Partners in 2015.
The company’s earlier funding had been supplied by Greycroft, First Round, Signia, Eniac Ventures, Social Starts, Box Group and angel investors including David Ko.