US grocery delivery service Instacart has secured $400 million in a Series D financing round, led by Sequoia Capital.

The San Francisco-based firm is an on-demand service, in which employees shop local stores for groceries on behalf of customers and deliver them directly to their door within two hours.

Following the funding round, investors now value the startup at $3.4 billion – up from $2 billion since its previous round.

Since January 2016, the firm has expanded from 18 to 35 markets and expected to almost double that number by the end of this year. The company also now boasts over 135 retailer partners, including top national grocers H.E.B, Whole Foods Market, Costco and Supervalu.

Furthermore, Instacart has also worked with the CPG (consumer packaged goods) industry to provide exclusive deals and discounts for customers – including brands such as Coca-Cola, Nestle, Unilevel and Pepsico.

The firm said: “We’d like to thank everyone in the Instacart community. Our success would not be possible without the support of our incredible shoppers, customers, partners and team who are with us on this journey. We have a lot planned in the years ahead and we are looking forward to continuing to change the way people shop in 2017 and beyond.”

Other investors participating in the funding round included Wellcome Trust, Y Combinator Continuity, Andreessen Horowitz, FundersClub, Khosla Ventures, Kleiner Perkins Caufield & Byers (KPCB), Initialized Capital, Thrive Capital and Valiant Capital.

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