Russian investment fund, Bonduelle to invest $5 mln in meal kits delivery service

TASS, 06.05.2020

Russian Direct Investment Fund (RDIF) and Bonduelle have invested in development of Elementaree, a Russian meal kits delivery service, the Fund said in a press release on Wednesday.

"The Russian Direct Investment Fund (RDIF), Russia’s sovereign wealth fund, Bonduelle, the world’s leader in ready-to-use vegetables, and Middle Eastern partners have jointly invested in Elementaree to support its growth strategy," the document said.

The amount of investment has not been disclosed, though a source close to the agreement has told TASS that it will total around $5 mln. Founded in 2014, Elementaree operates in Moscow and St. Petersburg, RDIF said. The new funds are planned to be used to support the enhancement of the company’s production capacity, menu expansion and further development of its technological platform.

The company also plans to expand its geographical presence in Russia and launch its services in Nizhniy Novgorod, Kazan, Yekaterinburg and Novosibirsk in the next two years.

Moreover, Bonduelle as an investor and a strategic partner of Elementaree will help the company further strengthen its market leadership and integrate its distribution to online and offline retail channels.

"The size of the meal kits market is estimated to grow to $1 billion over the next 5-7 years. Investment in developing infrastructure for individual orders and food delivery is extremely effective at addressing increasing demand and meeting people’s needs," Chief Executive Officer of Russian Direct Investment FundKirill Dmitriev was quoted as saying.