Investment in FreightTech Continues to Surge Cart.com received $60 million in Series C funding, bringing its total worth to $1.2 billion. It is a unicorn.
Meanwhile, two companies that work on the global supply chain, Nuvocargo, and CargoBot, have raised $36.5 million and $6 million, respectively.
Venture capital investment is low in some tech sectors, but high in transport and shipping.
Fernando Correa is the co-founder and CEO of Cargobot. He mentioned in an interview with a logistics news site that obtaining funding for a business can be challenging. Our investors trust us and have invested in our business.
Cart.com raises $60 million in Series C funding to accelerate product development and global growth
Cart.com, a trade and transportation tool company, has raised $60 million, according to a news release.
The company wants to use the money to speed up the development of products. and grow worldwide. The products are for its business-to-business and corporate clients.
- Riley Venture Capital, Kingfisher Investment Advisors, Legacy Knight, Snowflake Ventures, Prosperity7 Ventures, and others were strategic partners in the Series C round.
Omair Tariq, the co-founder, and CEO of Cart.com, stated that the company is a leading commerce software and services provider.
Their main focus is to empower customers to compete and succeed in every channel using digital tools and technology-driven logistics capabilities.
The company plans to invest further in its commerce data capabilities. The purpose is to address challenges related to inventory, channels, and supply chains.
Cart.com has become a “unicorn” company worth at least $1 billion as a result of the latest round of funding.
Since its establishment in 2020, Cart.com has grown to have 6,000 different names. Their software has facilitated $5 billion in gross merchandise volume, 140 million in product sales, $10 trillion in product ads, and 11 billion in marketplaces.
Nuvocargo raises $36.5 million in Series B funding to expand its services along the U.S.-Mexico border
A digital logistics company named Nuvocargo raised $36.5 million in a Series B round of funding, which was led by QED Investors.
The money will help the New York company, which used to only serve the Laredo, Texas, area, grow so that it can serve all of the big U.S.-Mexico border routes. This growth is because shippers and transport companies that work in the international United States–Mexico region are asking for more.
Deepak Chhugani, the CEO of Nuvocargo, thinks that Mexico will continue to be one of the most important trading partners of the United States.
The company plans to take advantage of the trend of nearshoring, which is bringing jobs from China and other Asian countries to Mexico.
Because of the Series B fundraising round, Nuvocargo’s value went up to about $250 million.
Cargobot raises $6 million in Series A funding to develop new services and expand its transport network
The Miami-based digital freight business Cargobot got $6 million in a Series A investment round led by BPBI and continued support from the lead owner, Total Management 2 Inc.
With the money, new services and goods for movers and haulers will be made. The goal of Cargobot’s platform is to make it easier for shippers and carriers to move freight by keeping track of freight operations in real time.
The company has big plans to build its transport network, API links, Cargobot Pool business, and Cargobot SaaS business. Cargobot thinks there is promise in trade between the United States and Mexico.
The bottom Line
In conclusion, investors keep pouring money into FreightTech. Recently, three supply chain businesses—Cart.com, Nuvocargo, and CargoBot—raised a total of $102 million from investors.
This is good news for the logistics industry as a whole because it shows that investors believe these businesses and the industry as a whole will do well in the future.
As the value of logistics is once again being seen and more openness in the supply chain is being looked for, venture capital funding for logistics companies has grown a lot.
Because people now know more about the business, high amounts of money are being put into it.
With this money, these businesses will be able to improve their services, speed up product development and growth around the world, and better meet the needs of their growing B2B and corporate customers. All of this should be good for the logistics industry as a whole.