Shippeo announces record $40m funding round to accelerate global supply chain resilience

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Shippeo, the real-time multimodal supply chain transportation visibility solutions provider, has announced a fundraising round of US$40 million, boosting investment to date to over $110 million, as the company ramps up global expansion of its best-in-category visibility platform.

All existing investors took part in the new round, including Battery Ventures, Partech, NGP Capital, ETF Partners, Bpifrance Digital Venture and SAP.io, alongside new strategic investors Hong Kong-based LFX Venture Partners and Japan-based Yamaha Motor Ventures, whose investment will help to ramp up operations across Asia-Pacific.

The investments will support Shippeo’s mission to help shippers and carriers run more collaborative, automated, sustainable, profitable, and customer-centric supply chains, leveraging global partner networks, real-time data and AI to enable greater ecosystem collaboration. Regarded by many companies as the heart of their operations, supply chains can now benefit from highly accurate, real-time operational visibility and perfect workflow orchestration, which have become crucial for overcoming the unprecedented challenges, uncertainty, and financial fallout from disruption that organisations continue to face.

“Given the challenging economic climate we find ourselves in, the fact that each of our existing investors took the opportunity to reinvest is a strong vote of confidence in us, thanks to the considerable growth rates and enviable customer satisfaction levels we’ve managed to maintain,” explains Shippeo CEO Pierre Khoury. “Benefitting from the addition of some notable new investors, this fundraising round is the largest ever for a supply chain visibility software in Europe, helping us bolster our sound financial position for many years to come, and accelerating our ongoing North American and APAC expansion, while giving customers and partners confidence in the longevity potential of our partnerships.”

Impressive growth trajectory

In the last 12 months, Shippeo’s company valuation has grown 70%, with a lean approach to cash burn helping to preserve a secure financial position and clear path to profitability. Over the past 3 years, Shippeo has expanded from a regional leader to a global leader in real-time shipment visibility, growing subscription revenues 80% year on year, and adding 150 global enterprise-level customers to its books, including Coca-Cola HBC, Renault, AkzoNobel, Philip Morris International, and Jaguar Land Rover. In parallel, the company has kept churn rates below 4%.

Having launched in the North American market earlier this year, Shippeo’s expansion is maintaining momentum through a recently announced partnership with e2open (NYSE: ETWO), the connected supply chain SaaS platform with the largest multi-enterprise network. Shippeo’s carrier network also grew to over 150,000 across the globe, with active shipment tracking in 92 countries, across all continents, including complex regions for tracking such as the Middle East, Africa and Asia Pacific.

Supporting growth was a tripling of team size to over 220 people. The company has welcomed several world-class executives, including London-based Anand Medepalli as Chief Product Officer, previously at BlueYonder and ServiceNow, Paris-based Philippe van Hove as Chief Revenue Officer, previously at Zuora and Lacework, and San Francisco-based Chris Mazza as SVP of International Growth, previously at ClearMetal.

Best-in-category data quality, capabilities, and user experience

Shippeo's ambition is to be the leading supply chain operating system, enabling fully automated and sustainable supply chains across the world, offering the highest data quality and ETA accuracy available on the market. Earlier this year, Shippeo announced several major product developments offering new features and capabilities for customers. These included an enhanced ocean tracking solution, with a improved user experience and powerful monitoring capabilities, as part of what the company claims to be the first truly singular platform available on the market for tracking end-to-end shipments across all transport modes. 
 
Shippeo also debuted a new carbon visibility dashboard to simplify CO2 emissions monitoring from transport and distribution activities for both shippers and carriers. In parallel, shipment tracking ETA accuracy was boosted by a giant 32% and rail visibility capabilities enhanced via a new partnership with leading rail and intermodal transport management system provider Everysens.

Michael Brown, General Partner at Battery Ventures, is delighted with Shippeo’s prospects. “We see a bright future ahead for Shippeo. The fact that the company continues to attract and deliver for such high-caliber enterprise-level customers is a testament to their team’s focus on customer centricity from product development, through to solution consulting, deployment, and support. What’s more remarkable is that they’ve managed to achieve a market leadership position with comparatively lower funding and better cash efficiency versus some of their direct competitors, due to strong leadership and the highly capable team they’ve attracted.”

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