Food delivery company DoorDash announced that it raised $400 million in fresh capital in Series H round. With the latest development, the company has reached a valuation of nearly $16 billion and has raised over $2.4 billion in venture funding since its inception in 2013.

The San Francisco-based company also confidentially went public earlier this year making it one of the most high-profile listings of 2020. Covid-19 though has brough IPO to halt due to massive outbreak in the US despite of an increase in food delivery business.

The firm declared that the it will use the raised amount for new products and services to address the changing commerce landscape made necessary by Covid-19, DoorDash said it its press release. The new funds may also further the startup’s quest to increase market share in the U.S., Canada and Australia, the three countries where it operates.

The company, backed by SoftBank Group Corp, competes with Uber Eats, GrubHub Inc and Postmates Inc. It said that the latest funding round would be led by new investors Durable Capital Partners LP and Fidelity Management & Research Co and existing investors. Funds and accounts would be advised by T Rowe Price Associates.

Unlike India, US has seen an upsurge in food delivery orders during the pandemic season which has led to increased competition between companies. DoorDash is a direct competitor of Grubhub and Uber Eats and the market has been dominated by these three entities. Grubhub was acquired by European firm Just Eat Takeaway earlier this month. DoorDash presently rules 45% of the market according to data from analytics firm Second Measure

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