PrivCo Logo

Investing in Bulk: The Rise of the Wholesalers

Investing in Bulk: The Rise of the Wholesalers
June 17, 2021

The Daily Stack is a daily private market insights newsletter by PrivCo, a private company intelligence platform. Read our previous insights.
If you have friends who would enjoy reading this newsletter, please forward this email to them.

A year marked by empty shelves in the toilet paper aisle was also an incredibly lucrative one for the online wholesale retailer, Boxed. As part of the $55.5BN online grocery shopping market (2020), the company sold grocery and bulk items online to its 7MM users. After starting the company in 2013 from his parent's garage, founder Chieh Huang will be taking the company public through an $887MM SPAC deal with Seven Oaks Acquisition Corp.

Traditional wholesale companies include heavyweights Costco, BJ’s Wholesale Club, and Sam’s Club. But with e-commerce shopping continuing to rise post-pandemic, big-box wholesalers and online retailers like Amazon–which has Amazon Pantry as their bulk staples offering–are contending with private companies who might have greater brand likability and niche models. 

Out-of-the-Box Wholesale:

The success of Boxed is due in part to its popular model of zero membership fees and 20% off the first order, an enticing and easy offer when people are looking for ways to swap out their Sunday Costco runs for online orders. The customer base that started as coastal millennials has grown to include suburban and rural customers since the pandemic and has seen a 30% increase in mobile app users. 

Consumer Wholesale Private Companies:

Yamibuy: This southern California online wholesaler specializes in products from Asia, including beauty, kitchen appliances, and groceries. The company announced a test drive with autonomous carmaker to do contactless deliveries last summer. 

Weee!: Also specializing in Asian staples, this company focuses primarily on perishables you can’t find anywhere else. Weee! reached a $2.8BN valuation after its Round D of $315MM, led by Tiger Global Management.

Grubmarket: Farm-to-consumer marketplace Grubmarket has been on a buying spree of specialty food companies to reach nationwide expansion. Named one of Y-Combinator’s Top Companies in 2021, the company aims to go public in 2021 after raising a Series D of $90MM in February from deep-pocket investors like BlackRock and GGV Capital.

Marketing startup with refreshing philanthropic edge 💦

The Austin-based startup has a give-back model seeking to solve the global water crisis.

Watching the "twilight zone" in the deep sea
In a feat of engineering, Mesobot tracks the great migration of the sea.
Since last week, PrivCo has added:

398 Companies | 156 Funding Activities | 187 M&A Deals

Funding & Deal Highlights:


Addepar raises $150MM

Finance Software & Internet Services • Round F • Mountain View, CA

Paycargo raises $125MM from Insight Partners

Payment Software & Internet Services • Round B • Miami, FL

Hello Alice raises $21MM from QED Investors

Business Development Software & Internet Services • Round B • Santa Rosa, CA

Anrok raises $4.3MM from Index Ventures & Sequoia Capital

Billing Software & Internet Services • Seed • San Francisco, CA

HiFiBiO Therapeutics raises $75MM from Mirae Asset Venture Investment

Biotechnology • Round D • Cambridge, MA

Moleaer raises $9MM from S2G Ventures 

CleanTech Industrial Services • Round B • Carson, CA

Finley Technologies raises $3MM from Bain Capital Ventures

Fintech Software & Internet Services • Seed • San Francisco, CA

Serenity Kids raises $7MM from Circle Up 

Food & Beverage Producers • Round A • Austin, TX

Macrometa raises $20MM from Pelion Venture Partners

Developer Tools Software & Internet Services • Round A • Belmont, CA

Bitwise Asset Management raises $70MM from Elad Gil & Electric Capital

Investment Management & Financial Advisory • Round B • San Francisco, CA

Unilever to acquire Paula’s Choice 

Consumer Products • Acquisition • Seattle, WA

Booz Allen Hamilton acquires Liberty IT Solutions for $725MM

Technology Services • Acquisition • Herndon, VA

Burning Glass Technologies acquires Economic Modeling Specialist International

Consulting • Acquisition • Moscow, ID

Bain Capital acquires Surf Broadband

Telecommunication Services • Acquisition • Eckhart, IN

Forward to a Friend Forward to a Friend
Not a subscriber yet? Sign up here!
Have an interesting topic you want us to include. Let us know!
Copyright © 2021 PrivCo Media, LLC. All Rights Reserved.
Unsubscribe | | Contact Us
PrivCo Logo

© 2024 PrivCo Media, LLC


HomeSign inContactPricing