Blank Street explores $100m funding round amid rapid expansion

US coffee brand Blank Street is in early-stage discussions to raise more than $100m (£75.4m) to support its expansion plans.

According to the Financial Times, talks remain preliminary and neither the funding target nor valuation have been finalised.

However, the business, which was valued at around $500m (£375m) last year, could achieve a valuation close to $1b (£750m) in any deal.

Blank Street has expanded rapidly since launching in the UK in 2022 with sites in London’s Fitzrovia and Shoreditch. The coffee chain now operates more than 50 locations nationwide and is planning new openings in Brighton, Bristol and Liverpool.

It is also set to open at the £500m town centre development in Elephant & Castle, London, in summer 2026.

Accounts filed in October last year show the business tripled turnover to nearly £36m in the 2024 financial year.

Founded in 2020 in Brooklyn, New York, by Vinay Menda and Issam Freiha, Blank Street began as a coffee cart and has grown quickly, driven by its appeal to younger consumers and its focus on trends such as matcha-based drinks.

Freiha, a former venture capital investor, has secured backing from firms including Left Lane Capital, General Catalyst and Tiger Global.

The Caterer has approached Blank Street Coffee for comment.

The news comes as other coffee chains face mounting pressure. Last autumn, US giant Starbucks announced plans to close some UK cafés as part of a wider restructuring programme involving hundreds of global job losses, while high street operator Costa Coffee reported losses of nearly £13.5m in the year to 31 December 2024.

Photo by Ajay Suresh, licensed under CC BY 2.0