Fast-growing Matsmart.se, which specializes in selling soon-to-be expired groceries in Sweden, has raised an additional €3.7 million led by North Zone and GP Bullhound, according to Swedish news site Breakit. Other investors included Inbox, Tedlex Capital Partners, and business angels Magnus Lindstam and Michael Knutzon.
In late 2015, the company raised about €3 million led by North Zone, GP Bullhound, and Edasta Venture. The company's current valuation is about €25 million.
"We had intended to raise a smaller round of 20 million SEK (€2 million), but interest was so great and we had interesting investors who wanted to join us," Karl Andersson, CEO and co-founder of Matsmart.se, told Breakit.
Matsmart.se aims to minimize food waste. The company buys up large quantities of products that are soon-to-expire or that would be discarded for cosmetic reasons, and sells the products online well below normal retail prices.
The company has increased its sales significantly in recent years. It went from sales of about €250,000 in 2014 to €2.6 million last year. This year's turnover is expected to reach nearly €7 million, the company said.
Read more: Breakit (in Swedish)