Just days after Postmates filed confidential paperwork for an initial public offering, the latest news in the on-demand delivery space is that competitor DoorDash is in the process of raising a $500 million round, The Wall Street Journal reports. The round would reportedly value DoorDash at more than $6 billion and possibly up to $7 billion.
According to the WSJ, Temasek Holdings Pte., Singapore’s state investment firm, is expected to lead the round.
Last year, DoorDash raised a $250 million round of financing that valued the company at $4 billion. In total, DoorDash has raised nearly $1 billion in funding from investors like SoftBank, Sequoia, DST Global, Kleiner Perkins and others.
Earlier this year, the food-delivery startup became the first startup to operate in all 50 states. Meanwhile, similar to Instacart, DoorDash has also reportedly been subsidizing worker pay with tips from customers, but DoorDash still has yet to respond to TechCrunch regarding the practice.
I’ve reached out to DoorDash and will update this story if I hear back.