Modern Milkman has secured a £10 million investment from Salica Investments, taking total funding raised by the sustainable grocery delivery business to more than £60m.
The funding will support the continued expansion of the Manchester-based firm’s doorstep delivery model as the business builds out a broader logistics and services platform for households across the UK.
Leveraging its existing delivery infrastructure, the company plans to roll out additional integrated services aimed at making sustainable, low-waste choices easier and more convenient for customers.
The investment marks the first direct-to-consumer deal from Salica’s Growth Debt Fund, with the London-headquartered investor backing the company’s scale-up strategy and long-term focus on sustainability.
Founded in 2019 by Simon Mellin, Modern Milkman has grown from a local milk round in Colne, Lancashire into a national operation serving more than 100,000 households.
The company operates an app-driven platform that optimises routing and ordering to reduce waste, delivering groceries and household essentials in reusable glass bottles and returnable containers.
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In January 2024, the business expanded into the US through a strategic acquisition and now operates across Connecticut, Massachusetts, Rhode Island, Ohio and New York.
Just over a year later, it made a second transatlantic acquisition when swooping for Pine Tree Dairy’s home delivery network.
Mellin, a BusinessCloud Northern Leader, said: “Modern Milkman has a strong, distinctive and convenient offering for households across the UK.
“This timely investment from Salica enables us to go beyond customer expectations and unlock a new generation of integrated doorstep services.
“Our growth and customer satisfaction demonstrate a clear consumer appetite for sustainable alternatives.
“With this backing, we’re well-positioned to scale while helping households reduce their environmental impact.”
Usman Ali, partner in Salica’s Growth Debt Fund, added: “Modern Milkman is a business with exceptional leadership and a clear strategy.
“Its commitment to sustainability and the circular economy creates long-term value while addressing global environmental challenges.”