Nestle enters prepared meals market in US

Business 6/20/2017, 9:04 AM
Nestle enters prepared meals market in US

Freshly, online delivery service of healthy prepared meals, raised $77 million in a round of financing led by Nestle USA, which took a minority stake in the startup based in the United States. The firm works in 28 states, shipping meals on a weekly basis according to the direct-to-consumer (DTC) concept, said the press release, published on Tuesday. Swiss Nestle SA's subsidiary said it gained access to a $10 billion market for online orders for prepared meals in the world's largest economy.

The provider of heat-and-serve food is building its second production facility, in Savage, Maryland, expecting it will enable it to reach 93% of US consumers with its program, which includes gluten-free, paleo, high protein, low carb or vegetable-based diets.

"The investment by Nestle will help to fund Freshly's construction of a new East Coast kitchen and distribution center in 2018, as it prepares to expand to nationwide service. Headquartered in New York with operations in Phoenix, Freshly was founded in 2015 and currently employs 400, with plans to hire additional employees over the next 12 months," the statement adds.

TeleTrader Newsroom / IT



Chart for: NESTLE N

Switzerland 2...+0.18%

Chart for: Switzerland 20 Index

STOXX Europe ...+0.26%

Chart for: STOXX Europe 600, EUR (Price)