The Wall Street Journal reported recently that food delivery startup DoorDash is in the process of raising a $500 million round of funding. 

Terms of the Deal

According to the report, the round would value the company at somewhere between $6 and $7 billion. The news comes just days after one of DoorDash’s main competitors, Postmates, filed confidentially for an IPO. According to the report, the round will be led by Singaporean state investment firm Tamasek Holdings Pte. 

A Solid Track Record

This is not be the only large round of funding closed by DoorDash recently. Last year, DoorDash raised $250 million in Series E funding. At the time that round valued the company at $4 billion and was led by DST Global and Coatue Management. Previous investors in the company have included Kleiner Perkins, SoftBank, Sequoia, and others. To date, DoorDash has raised more than $1 billion after seven rounds of funding. 

Expanding to All 50 States

Earlier this year, DoorDash made news when it officially entered all fifty states. In a statement regarding the move, company co-founder and CEO Tony Xu remarked, “In the past year alone we’ve more than quintupled our geographic footprint from 600 to 3,300 cities across North America, democratizing access to door-to-door delivery for hundreds of millions of Americans across the nation.”

A Rising Star in the Food Delivery Space

According to a report by the Wall Street Journal, DoorDash retains an 18% market-share of the food delivery services. GrubHub remains the leader with a 34% market-share. According to the report, DoorDash was also able to grow at a faster rate than any of its competitors over the first-half of last year. Other companies in direct competition in the U.S. food delivery market also include UberEats, and the aforementioned Postmates.

Just how much of the market share the new round of funding will allow DoorDash to gain remains to be seen, but at a $6 billion valuation investors certainly seem willing to let them try.