Wonder Files Confidentially for IPO After $9 Billion Valuation
Marc Lore's Wonder has confidentially filed for an IPO. Here is what the food delivery company owns, how it is funded and what is still undisclosed.
Wonder, the food delivery and restaurant company started by Marc Lore, has confidentially filed paperwork for an initial public offering, the company announced on Thursday, according to TechCrunch. The filing moves the company a step closer to having its shares trade on a public exchange.
Wonder has not said how many shares it plans to sell or what price range it is aiming for. A confidential filing lets a company submit its draft registration to the SEC for review before the details become public, so investors and customers will learn the size and terms of the offering later.
How Wonder makes and delivers food
Lore founded Wonder in 2018. He previously started Jet.com and Diapers.com. Wonder began as a food delivery idea and has grown into what TechCrunch describes as a broader food technology business.
Its main format is a food hall-style location. Customers order dishes from several restaurant brands through one platform, and Wonder runs the whole chain itself: it cooks the meals and handles delivery, pickup and dine-in service. TechCrunch says this goes further than the model of traditional delivery apps.
A $9 billion valuation and a string of acquisitions
In July, Wonder said it had raised more than $650 million in a funding round that valued the company at around $9 billion, TechCrunch reported. Its investors include Accel, GV, AllianceBernstein and ARK Invest.
The company has also bought several businesses that now sit under the Wonder name:
- Blue Apron, the meal-kit company
- Grubhub, the restaurant delivery platform
- Tastemade, a media company
- Spyce, which makes kitchen robotics
The Spyce deal gives Wonder automation technology that could speed up food preparation and change how meals are served, according to TechCrunch.
Expansion plans in Texas and on college campuses
Wonder has said it wants to open more than 100 locations in Texas by the end of 2027. It has also signed a $425 million partnership with DoorDash to grow its campus dining business, which operates at 450 colleges and universities as well as other sites.
A newer product, Wonder Create, lets food entrepreneurs and social media influencers develop restaurant brands, menu items and food concepts. The platform uses AI and can design and launch a restaurant brand in under a minute, the company says.
What it means for customers, workers and investors
The filing affects several groups. Grubhub, Blue Apron and Tastemade customers already deal with a company owned by Wonder, and a public listing would bring regular financial disclosures about how those businesses perform. Private investors who backed the company at the $9 billion valuation would get a possible route to sell shares on the open market once the offering is complete.
Going public also means more scrutiny. Wonder competes with established delivery services, including DoorDash and Uber Eats, and a listing would put its financial results in front of public shareholders. DoorDash is a rival in delivery and, through the campus dining deal, a partner at the same time.
What to watch next
The next step is a public version of the registration statement, which would give Wonder’s financial details along with the number of shares on offer and a price range. The company has not said when it expects to list or which exchange it will use. Until those terms are released, the offering’s size and the valuation public investors will be asked to accept remain unknown.
Source: TechCrunch
