Tiger Global Management hedge fund led the funding round along with existing investors Coatue Management and Valiant Capital.
As per a source familiar with the matter at hand, Grocery delivery startup Instacart has raised an extra $271 million in its latest funding round to $871 million with U.S. hedge fund Tiger Global Management leading the round.
Last month San-Francisco-based Instacart stated, it had raised $600 million in a round that was led by D1 Capital.
The additional $271 million came as a result of interest from a handful of investors, which includes Tiger Global and existing investors Coatue Management and Valiant Capital, said the source. The deal had been filed in Delaware earlier this month.
As per the source, Instacart has raised a total of $1.87 billion, valuing the company at $7.87 billion, the source said.
Tiger Global, Valiant and Coatue declined to comment.
Founded in 2012 by a former Amazon employee, Instacart has steadily grown in size and customer base as retailers including Aldi Inc, Walmart, and Kroger Co has invested heavily in delivering groceries direct to doorsteps.
Instacart’s app allows shoppers to order groceries from retailers and it delivers the same within the day. Instacart makes money through delivery fees, coupon deals and promotions with a number of brands.
Incidentally, Tiger Global’s best known investments include Indian e-commerce site Flipkart, an Amazon competitor which was acquired by Walmart Inc earlier this year and ride-sharing app Uber.