D1 Capital Partners Review: Technology and Consumer Growth Equity

In-depth review of D1 Capital Partners: their growth investment thesis, portfolio companies, typical deal sizes, and how to prepare for investment.

Key Takeaways

  • •Focus on Consumer, Technology, Business Services companies
  • •Investment range: $100M-$500M for growth equity deals
  • •Based in New York City
  • •Growth equity focus with public and private investments
  • •~$27.75B in assets under management

Firm Overview

D1 Capital Partners is a global investment firm founded in July 2018 by Daniel Sundheim, formerly of Viking Global Investors. The firm deploys capital across both public and private markets, focusing on companies with strong market positions and growth potential.

With approximately $24 billion in assets under management as of 2022, D1 has built a diversified portfolio spanning consumer, technology, healthcare, industrials, and financial services sectors. The firm is headquartered at the Solow Building, 9 West 57th Street in New York City.

Notable Portfolio Companies

D1 Capital Partners has invested in numerous category-leading companies across consumer, technology, and business services sectors. Notable investments include Robinhood (fintech trading platform), GitLab (devops software), Instacart (grocery delivery), DriveNets (networking), and Maplebear Inc./Instacart - leading companies in their respective markets.

Firm Overview

  • Founded: 2018 by Daniel Sundheim, formerly of Viking Global Investors
  • Headquarters: 9 West 57th Street, New York City
  • AUM: ~$24 billion (2022)
  • Investment Style: Growth equity and public equity investing
  • Sector Focus: Consumer, Technology, Healthcare, Industrials, Financial Services

What D1 Capital Looks For

D1 Capital evaluates opportunities based on clear investment criteria:

  • Revenue scale: Companies with demonstrated scale and market leadership
  • Growth trajectory: Strong revenue growth and market expansion potential
  • Unit economics: Proven business models with attractive unit economics
  • Brand strength: Strong brand recognition and customer loyalty
  • Market opportunity: Large and growing addressable markets

Pro Tip

D1 is known for their willingness to invest in proven business models with strong growth. They bring strategic guidance and can help with scaling. Be prepared to discuss your unit economics in detail.

Growth equity firms like D1 expect sophisticated metrics and financial infrastructure

  • Growth Metrics: Revenue growth rate, Customer acquisition cost, Customer lifetime value, Retention rates
  • Financial Metrics: Revenue scale, Gross margin, Path to profitability, Cash flow generation

How Eagle Rock Helps

We help growth companies prepare for investment by building detailed financial models, unit economics analysis, and growth projections. Our fractional CFO services ensure your company meets the criteria that firms like D1 require.

Pro Tip

Have clear growth initiatives and market expansion plans ready to present.

Frequently Asked Questions

What industries does D1 Capital focus on?

D1 Capital primarily invests in Consumer, Technology, and Business Services. The firm seeks companies with strong market positions and clear growth trajectories.

What size companies does D1 invest in?

D1 typically invests $100M-$500M in growth equity deals, targeting established companies with proven business models.

What is D1's typical investment size?

The firm's investments generally range from $100M-$500M, positioning them as significant capital partners for growth-stage companies.

How long does D1's due diligence process take?

Due diligence timelines vary by deal complexity, but D1 typically conducts thorough financial, operational, and market due diligence over several weeks to months.

What should I prepare before engaging with D1?

Prepare three years of audited financials, detailed market analysis, management team bios, growth plans, and a clear vision for how the partnership would create value.

How does D1 work with portfolio companies?

D1 takes a partnership approach, working closely with management teams on strategic initiatives, acquisitions, and operational improvements.

Ready to Connect With D1 Capital?

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This article is part of our Private equity firms | Eagle Rock CFO guide.