BOISE, Idaho — Albertsons Companies has joined forces with venture capital firm Greycroft to create a fund that will invest in and help grow emerging companies and technologies in the grocery sector.
The fund, which will consist of up to $50 million over time, will combine Greycroft’s investment knowledge and connections in the early-stage technology industry with Albertsons’ grocery experience, scale and presence in e-commerce home delivery.
“As our e-commerce companies scale, they often incorporate a brick-and-mortar strategy to reach the entire US market,” said Ian Sigalow, co-founder and partner of Greycroft. “This partnership with Albertsons Companies will enable our companies to tap into their 34 million weekly customers across a wide range of industries, including consumer products, health care, wellness, pharmaceuticals and grocery. We believe that consumers should be able to get access to these high-quality products and services whenever they want, wherever they want, and that requires a coast to coast footprint.”
Albertsons’ investment in the fund is part of the company’s broader technology strategy to partner with new and emerging technologies impacting the grocery segment, Albertsons said.
“Albertsons Companies is committed to meeting customers wherever and however they like to shop, and part of that is being at the forefront of the tremendous innovation our industry has seen over the last five years,” said Shane Sampson, chief marketing and merchandising officer. “As we saw with our recent acquisition of Plated, Albertsons Companies has the capital, scale and expertise to power future growth of the most promising emerging businesses and technologies across the food and grocery space. We are thrilled to be partnering with Greycroft, whose investment acumen and relationships are positioned to be key drivers of our success.”
New York-based Greycroft is a venture capital firm focused on investment in the internet and mobile markets. Greycroft manages more than $1 billion and has made over 150 investments in companies such as Boxed, Braintree, Foodsby and Munchery.