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Blue Apron, the meal kit service that ships pre-measured ingredients and recipes to consumers around the country, reportedly is considering an initial public offering (IPO) that it believes could bring it as much as $3 billion.

Bloomberg writes that Blue Apron "is holding what’s known as a bakeoff, in which bankers will pitch their IPO strategies in hopes of working on the deal." The $3 billion valuation would be justified by the company's profitability, Bloomberg writes.

The story notes that Blue Apron is not alone: "Plated, which also started in 2012, has a similar ingredient-delivery model. German startup HelloFresh started in the U.S. later that year and Purple Carrot began its vegan options in fall 2014." But Blue Apron would be the first of the group to go through an IPO.
KC's View:
I am not entirely persuaded yet that this is a long-term and sustainable independent business model, though I would not argue that they've identified a business niche that could have legs. That said, I know some millennials who swear by these offerings, so it may be that the $3 billion is entirely justified and I'm just not the audience.