Meal-kit delivery service Blue Apron is finally ending its six-year run on the public markets, making one final delivery to investors today. 📦
In that delivery was news that the company is selling to Wonder Group, the food-delivery startup led by former Walmart executive Marc Lore. In return, shareholders will receive $13 in cash per share, representing a whopping 130% premium to Thursday’s closing price and valuing the company at $103 million. 💵
While that may sound like great news, it’s actually a lot less great when put into context. The company came public in 2017 at a nearly $2 billion valuation and has struggled seemingly every day since. Even with today’s pop towards the acquisition price, $APRN shares are down over 99% from their post-IPO levels.
Wonder plans to continue Blue Apron’s current operations and keep the brand, with the acquisition bringing it one step closer to its ultimate goal of creating a “super-app” for mealtime. 🍽️
While it pioneered growing the meal-kit market in the early days, it shows that even category-makers can have trouble surviving in public markets — especially when a highly saturated space meets a global pandemic. Although disappointing, at least Apron shareholders can rest knowing their long, arduous journey is finally over. 😥