Meal-kit delivery service Blue Apron plans IPO

June 2 (UPI) -- Blue Apron Holdings Inc., a startup company offering a cook-at-home meal delivery service, announced plans for an initial public offering.

It said Thursday it expects to trade on the New York Stock Exchange and hopes to raise $100 million in the IPO. The New York-based company, founded in 2012, improved its net revenue from $340.8 million in 2015 to $795 million in 2016. But increasing costs during its growth moved the company's balance sheet from a $3 million profit in the first quarter of 2016 to a $52.2 million loss in the first quarter of 2017. It cited a 15 percent increase in marketing costs as the reason for increased expenses and no profit.

Blue Apron provides pre-measured meal ingredients and recipes to customers on a subscription basis. It ships meal kits, as well as wine and cooking implements throughout the United States and sells items on the Internet as well. The concept of catering directly to customers by changing the grocery supply chain has attracted numerous companies, but has proven to be expensive. One, Sprig Inc., ended operations in May, and another, HelloFresh, cancelled plans for an IPO in 2015.