Emerging fast-casual chain Dig Inn received $15 million from restaurateur Danny Meyer’s investment fund to grow the chain and its proprietary delivery service, the company announced Tuesday.
Meyer’s Enlightened Hospitality Investments equity fund was part of a $20 million total funding round for the 24-unit farm-to-table-focused concept.
“Dig Inn is working to bring unprecedented and lasting change to our food system, and we’re proud to partner with them on their journey,” Meyer, CEO of Union Square Hospitality Group (USHG), said in a statement.
Dig Inn plans to open more restaurants in New York City and Boston, as well as its first in Philadelphia, later this year. A full-service restaurant slated for the West Village in New York City will represent a change of format for the company.
Dig Inn will also use the investment to expand its new delivery service, called Room Service. The service will expand to serve downtown Manhattan and, later, the whole borough, the company said.
The chain plans to bring on and train 300 new employees, many of whom will be new to restaurant work.
The investment will also fuel Dig Inn’s farm-to-table mission as part of a “farmer incubator program” with the goal of providing more than 8 million pounds of vegetables from over 80 farmers to the chain’s units.
“Our new partners bring not only more capital to the table, but a best-in-class culture of hospitality and cooking that Dany and his team have cultivated for nearly 35 years,” Adam Eskin, Dig Inn’s founder and CEO, said in a post on Medium.com. “Their unrelenting focus on their people, and their values, couldn’t be more aligned with our long-term vision for rebuilding the food system and changing the way we eat.”
Meyer launched the $200 million private-equity Enlightened Hospitality Investments fund in 2017 to boost emerging concepts that share USHG’s hospitality focus. The group has previously backed online food retailer Goldbelly, ice cream chain Salt & Straw, software provider Resy Network and more.
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