Gastro app Choco raises 85 million euros

Investors have thus valued the food start-up at more than 500 million euros. It is also being transformed into a fintech.

Choco, a Berlin-based ordering platform for restaurateurs, has raised more than 100 million US dollars (equivalent to almost 85 million euros) from US investors in its Series B financing round. The round is led by New York VC Left Lane Capital. Also involved are Insight Partners, also from New York, and the existing investors, i.e. the hedge fund Coatue and the Californian VC Bessemer Venture Partners. Following the round, the investors value the start-up Choco at more than 500 million euros.

Choco offers an ordering platform for restaurateurs that allows them to communicate with wholesalers and receive invoices. In spring 2020, the Berlin-based start-up raised 145 million euros in its Series A round. CEO Daniel Khachab told Gründerszene that the money from the current round will flow into new management staff, among other things. New managers are to come from Silicon Valley, and Choco recently brought Dropbox's head of technology Vikas Gupta on board as the start-up's new CTO. The recruitment is said to have cost a seven-figure sum, writes Gründerszene.

The start-up is also investing capital in new technology so that Choco can also offer financial services in future. The start-up is currently establishing links with partner banks that could process payments for Choco. This should enable restaurants to pay invoices directly via Choco.