Austin-based Snap Kitchen, which recently left the Chicago market and closed locations in Philadelphia, has raised $16.3 million, according to a new securities filing.
The company received the funding in equity and options, warrants or other securities, according to a Wednesday filing with the U.S. Securities and Exchange Commission.
Snap Kitchen received the funding from two investors, whose names were not disclosed in the filing.
Snap Kitchen declined to comment on the funding.
Founded in 2010, Snap Kitchen offers ready-made meals, juices and snacks to health-conscious customers. It also offers on demand delivery.
According to its website, the chain operates more than 40 shops in Austin, Dallas, Houston and Philadelphia with additional locations inside a number of Whole Foods Market stores.
In December, Snap Kitchen said it was ceasing operations in Chicago. The chain entered the Chicago market in 2014 and operated five locations and two kiosks at Whole Foods stores.
Regarding the Chicago closures, the company released a written statement saying it is “fine-tuning” its business model to determine the best way to scale.
“We have seen great success selling our meals through our shops, online and in grocery, all serviced by a state of the art kitchen. As we looked to replicate this model in other markets, it became clear that our current Chicago kitchen did not have room for expansion to support this strategy,” the company said. “While we evaluate the best approach for Chicago moving forward, we had to make the difficult decision to close here for now.”
Employees who lost their jobs as a result of the Chicago closings received 60 days of pay as well as opportunities for relocation to the Austin, Dallas, Houston and Philadelphia markets, the company said.
Meanwhile, Snap Kitchen announced this month that it was closing two Snap Kitchen locations in Philadelphia due to their proximity to other Snap Kitchen stores.
“With the addition of delivery, we recognized that some service areas overlapped,” the company said. “Due to the overlap of four of our existing stores, we've made the decision to merge our Washington Square West location with the Bella Vista location, and our Fairmount location with the Rittenhouse location.”
In August, Snap Kitchen eliminated about 150 jobs in Austin and Houston as the company said it was shifting work to a new facility in North Texas.
The changes didn’t result in any store closures, company officials said.
The company has since opened a 30,000-square-foot kitchen in Dallas where workers prepare meals for Snap Kitchen locations throughout the Southwest, including Austin and Houston.
The company previously received an investment from private equity firm Catterton Partners in 2013. The amount of the investment was not disclosed.
In 2016, CEO Dave Kirchhoff told the Statesman that Snap Kitchen had raised about $42 million from undisclosed investors.
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