Louisville-based online organic grocer, Door to Door Organics, has raised $25.5 million in Series B financing, led by New York-based agricultural investment firm Arlon Group. Door to Door currently operates across 30 cities in 11 regional markets including the Denver, Chicago, and Kansas City regions, and the funding will, in part, go toward expanding this geographic footprint. The raised funds will also be used to strengthen the firm’s technology infrastructure and expand its executive team. The online grocery sector accounted for 3.3% of the overall grocery industry at the end of 2013, however, within ten years this share will be between 11%-17% according to recent projections released by retail consulting firm Bricks Meets Clicks. Online grocery sales are expected to reach $27 billion in 2014 and are expected to reach between $80 million to $123 million annually by 2023 – growth that has attracted Amazon and Google to venture into the sector. Door to Door is expected to close 2014 with revenues of $35 million after posting $26.6 million in revenues in 2013. After acquiring a significant minority stake in Door to Door, two Arlon Group principals will join the company’s board.
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