Relay Foods raises $8.25 million

Online grocer Relay Foods has raised $8.25 million through a common stock-only sale.

The Charlottesville-based company says it plans to use the money to expand into Williamsburg and grow its market share in the Baltimore and Washington, D.C., areas. The company also plans to launch its first mobile platform, redesign its website and expand its executive team.

“We are extremely pleased to work with so many top-quality investors to bring our products and service to more customers,” Relay Foods founder and CEO Zach Buckner said in a statement. “With our rapid expansion in the mid-Atlantic region, our shift to next-day delivery across all markets, and our aggressive move into mobile, we believe Relay Foods will achieve huge growth throughout 2013 and make a strong positive impact in each of the communities we serve.”

Relay Foods offers a selection of local foods and national brands from a range of producers. Users order groceries online and either pick up the groceries at specific locations or can pay to have them delivered.

The new website and mobile applications will include more information about Relay’s producer partners, including detailed product sourcing data and expanded nutritional information. It will also include in-depth vendor profiles and recipes.

The operational changes include more than new 15 vehicles, an increase in freezer and cooler capacity and the launching of a commercial kitchen operation.