Chicago startup Home Chef is looking for a buyer, and it could fetch a price tag higher than $600 million.
The meal kit startup is said to be exploring options that include a sale, according to Reuters, and it could go for more than $600 million based on its 2017 revenue figures. Home Chef is expected to do $300 million in revenue this year, according to Reuters, and is profitable.
The potential sale comes as its rival Blue Apron is on the verge of an IPO, which could value the New York meal kit startup at $3.2 billion.
Home Chef is working with Deutsche Bank AG on the possible sale, but it could also seek a minority investment, according to Reuters. The startup has reportedly been approached by grocery stores and consumer packaged goods companies for a potential deal.
Home Chef launched in 2013 and says it’s the second largest US meal kit delivery service, behind Blue Apron. The company has grown fast in recent years, and just moved into a 30,000 square foot space in the Wrigley Building. The company has raised more than $50 million to date, including a $40 million round from L Catterton in 2016. Its early investors also include Craig Ulliott, the Chicago-based co-founder of Belly and the co-founder of Codeverse.
An email to Home Chef seeking comment was not immediately returned.