Flexport CEO, Ryan Petersen
Flexport mentioned Monday it raised $935 million in a Sequence E funding spherical that values the freight forwarding firm at $8 billion — practically triple its final reported valuation in 2019, based on PitchBook information. The San Francisco-based firm, ranked No. 41 on final 12 months’s CNBC Disruptor 50 checklist, has now raised practically $2.3 billion so far.
Its newest funding spherical is being led by Andreessen Horowitz and Michael Dell’s MSD Companions, and features a strategic funding from Shopify. Present traders together with DST World, Founders Fund, SoftBank’s Imaginative and prescient Fund I and former Greylock VC Kevin Kwok additionally participated within the spherical.
Freight is a trillion-dollar trade that is failed to maneuver with the pace of the twenty first century, lengthy reliant on ledgers, e-mail and (even) cellphone calls to speak. Quite a few challenges — from congestion at ports to shortages of delivery containers — have arisen all through the pandemic, resulting in increased prices and delays, and magnifying how crucial the often-taken-for-granted logistics trade is extra broadly.
Flexport’s ocean, air, truck and rail freight forwarding and brokerage providers transfer legacy approaches to delivery and customs administration to the place all enterprise is shifting right this moment: the cloud. Its information platform can analyze prices, container effectivity and greenhouse gasoline emissions, a rising precedence for corporations within the logistics house, and for his or her company shoppers, who’re all now searching for to decrease their carbon footprint all through the enterprise worth chain.
Previously 12 months, founder and CEO Ryan Petersen has targeted on questions like how a lot PPE might slot in a passenger airplane — the corporate moved tens of tens of millions of masks world wide throughout Covid outbreaks.
“The worldwide pandemic and the strain it placed on international provide chains has made the transportation of products — one thing many individuals took without any consideration — a day by day ache level,” Petersen mentioned in a press release saying the deal. “This funding indicators that the market acknowledges the necessity for a tech-enabled logistics ecosystem that has the visibility and resilience to deal with surprising challenges of any scale.”
Flexport has greater than 10,000 shoppers and suppliers in 112 international locations and reportedly doubled its income final 12 months. With recent financing, the corporate says it plans to start increasing into new markets and speed up the event of its know-how.
CNBC has prolonged the deadline to submit nominations for the 2022 Disruptor 50 checklist, our annual take a look at personal innovators utilizing breakthrough know-how to rework industries and turn into the subsequent technology of nice public corporations. Submit your nomination by Friday, Feb. 11, at 3 pm Jap time.