After months of speculation Square Inc., a Delaware corporation, finally confirmed rumors and announced its acquisition of startup company Caviar, a subsidiary of Munch On Me Inc., a Delaware corporation. The two startups have joined forces to create a new startup focusing on offering users deliveries from their favorite upscale restaurants. The two have not released any information surrounding the details of the deal but it has been reported to have closed for $90 million in stock.

Caviar, Inc.

Caviar, California startup company, based out of San Francisco, was founded in 2012. Caviar allows users to order premium meals online and delivers them to a designated location without a minimum order. Caviar offers it services everywhere including users’ houses, offices, and schools. Users use the mobile application or website to browse a photographic menu, make modifications to their meals, and then place the order.

Unlike other delivery services that partner with restaurants that already offer deliveries, Caviar has partnered with high quality, first class, restaurants that do not offer delivery services. Caviar partners with local contractors to pick up orders from restaurants and deliver them to users’ homes.

By tapping into an untouched market, Caviar has monopolized this market growing over 400% every year. Over 75% of Caviar’s orders are placed by users that have previously placed orders in one of the available cities. Currently, Caviar is available to users in major cities including Los Angeles, Seattle and New York.

To date, Caviar has raised approximately $15 million in seed funding.

Square, Inc.

Square Inc., the square-shaped credit card processor that attaches to smartphones founded by Twitter’s co-founder Jack Dorsey, gained its claim to fame back in 2010 by offering merchants low transaction rates.

Today, Square also offers a food ordering service, Square Order, that allows users to place orders for pick up and make payments for their orders using an application for an 8% fee. The application will then notify users when their order is ready to be picked up.

Currently offering its services to over 40,000 restaurants, the partnership with Caviar will allow Square to expand and offer more than just ordering and processing orders online.

Caviar CEO and co-founder Jason Wang

In a company blog post, Caviar CEO and co-founder Jason Wang stated: “Caviar has made it easy for customers to get food delivered from some of the most popular, local restaurants in the country. With Square’s national scale and commitment to making commerce easy, we’ll be able to help buyers get food delivered from more of their favorite restaurants.”

Topics: Apps, Delaware, Small Business, Startups