NEW YORK – Direct-to-consumer cereal company Magic Spoon is heading to brick-and-mortar, specifically Target stores nationwide, following an $85 million series B venture capital investment.
The proceeds from the investment will be used to expand from 100% direct-to-consumer into retail. The initial launch will be in Target stores, but the company plans to expand to additional retailers throughout 2022.
“Our focus on a direct-to-consumer model when we launched was key as we were growing and establishing a presence in a tired category, but we are beyond ready and excited to be able to reach even more consumers across the country through our brick-and-mortar retail launch,” said Greg Sewitz, co-founder of Magic Spoon.
Magic Spoon was launched in 2019. Its cereals are high in protein, low in carbohydrates, keto-friendly, and have no added sugar, grains or soy.
The investment was led by HighPost Capital and joined by Siddhi Capital, Coefficient Capital, Constellation Capital, Carter Comstock, and more. Celebrity investors include Shakira, Russell Westbrook, Halsey, The Chainsmokers, Nick Jonas, Amy Schumer, Odell Beckham Jr., and Nas.“In a short period of time, Gabi (Lewis, co-founder) and Greg have built a tremendous brand with a fiercely loyal and engaged consumer base through their unwavering commitment to innovation and creativity,” said David Moross, co-founder, chairman, and chief executive officer of HighPost Capital. “We look forward to leveraging HighPost’s deep consumer sector expertise to support Magic Spoon’s continued growth.”