Flink, a rapid-delivery startup based in Berlin that was previously a takeover target for Gorillas, Getir, Amazon, and Gopuff, has outlined its independent growth strategy. According to exclusive information from TechCrunch, the company has secured $150 million in funding, which it plans to use to expand its operations in Germany and the Netherlands, in collaboration with Just Eat Takeaway.
The funding comprises $115 million in equity and $35 million in debt, contributed by a mix of new and existing investors, including BOND, Mubadala, Northzone, and German supermarket chain REWE, along with two undisclosed backers.
While Flink did not confirm whether Just Eat Takeaway is one of these anonymous investors, the Dutch company had previously shown interest in a merger with Flink. They are now partnering under what Flink describes as a “preferred partnership.” REWE, a long-standing partner of Flink, remains involved.
“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 Oliver Merkel, Flink’s founder and managing director.
Flink did not disclose its current valuation, but sources informed TechCrunch that it is just below $1 billion. This follows significant recapitalization efforts by the company, which had previously raised over $1.5 billion, according to PitchBook.
During the peak of interest in the quick-commerce sector, Flink’s valuation soared to nearly $3 billion following an investment from DoorDash in December 2021, and shortly after, further funding brought its valuation close to $5 billion, according to sources.
In April this year, rumors circulated that Flink raised $106 million while contemplating a sale to either Getir or Just Eat Takeaway. It’s understood that the capital was a combination of bridge financing and older commitments dating back to 2022. Since then, Getir has scaled back its operations significantly. However, some rumors proved true, as Just Eat Takeaway is indeed involved in the latest developments. The new funding round, however, is said to be an entirely fresh deal.
The announcement of Flink’s new funding comes at a time of significant upheaval in the instant-delivery industry. This e-commerce segment, characterized by online retailers offering a limited selection of products from strategically located “dark stores” with delivery times of under an hour, saw a boom during the early days of the COVID-19 pandemic. It served as a convenient solution for consumers practicing social distancing or sheltering at home, attracting billions in investment from venture capitalists.
However, the industry has experienced a sharp downturn, with many startups either shutting down or being acquired by competitors. Flink itself has been through this cycle of rapid expansion, consolidation, and downsizing. It acquired the French startup Cajoo in 2022, in what many saw as a move to preserve its presence in France. Now, Flink has completely withdrawn from the French market.
Similar to Getir, which has refocused on its home market in Turkey, Flink is now concentrating on Germany and the Netherlands to strengthen its financial stability, with any future expansion efforts to be built on this foundation. The company anticipates generating $600 million in gross revenue in these two countries in 2024, a 20% increase over 2023. It has also achieved EBITDA break-even in both markets and aims for overall profitability by Q2 2025. The average order size is now $40.
Flink operates 146 hubs across 80 cities in Germany and the Netherlands and plans to open 30 additional locations in the next year. The company currently employs 8,900 people.