Flock Freight, a digital logistics company, announced on Wednesday that it had raised $215 million in Series D funding led by SoftBank Vision Fund 2 with new investors Susquehanna Private Equity Investments LLLP and Eden Global Partners, as well as existing investors SignalFire, GLP Capital Partners, and GV, formerly Google Ventures.
In November, it’s most recent funding round was for $113.5 million, valuing it at $463.5 million.
The company’s Series D has secured it a $1.3 billion valuation, almost a year later, with 325 percent year-to-date revenue growth, adding to the expanding list of unicorns dedicated to developing sustainable supply chains for clients.
“Flock Freight is the only firm that guarantees hubless shared truckload transportation, and this new investment will help us maintain our triple-digit growth,” said Oren Zaslansky, the company’s CEO and founder.
“Our continuous cooperation with SoftBank, as well as our new relationships with Susquehanna and Eden, allows us to continue to lead the freight industry’s transition to fill trucks at scale without losing service performance,” he said.
Unlike other digital freight brokers, Flock Freight focuses on using its patent-pending proprietary technology to combine less-than-truckload and partial-truckload shipments to maximize available space on a truck and avoid terminal stops, which leads to longer transit times and increased risks of damaged or lost product.
The company believes that integrating shared truckload technology will fulfill the second half of its goal statement, which is to “carry freight in a respectful manner of the environment and drivers.”
Flock Freight became the first shipping firm to achieve B Corporation accreditation in August 2020, demonstrating its belief that the transportation industry can begin to offset the 34 percent of carbon dioxide emissions it emits each year by using the pooled freight system.
“Through its shared truckload solution, Flock Freight’s commitment to improving the freight sector and its impact on the environment is a game-changer. Flock Freight’s commitment to its employees, community, and environment “fully matches with the B Corp’s aim to emphasize both purpose and profit,” according to Pooja Dindigal, senior associate of business development at B Lab. This charity awards B Corporation certification.
Flock Freight also teamed up with Carbonfund.org to become the first transportation company to offer carbon-neutral shipping at the point of sale without requiring customers to cover the cost.
The company has avoided 15,000 tons of carbon dioxide emissions since its beginning, with a goal of 20,000 tons by 2021.
Flock Freight intends to utilize the capital to continue investing in its algorithmic freight pooling technology and hire sales and operations personnel and launch a new Chicago office later this year.
“We believe Flock Freight’s technology has proved an unrivaled capacity to pool shipments in real-time, maximize trailer use, and eliminate waste – all while providing exceptional service.” Andrew Straub, investment director at SoftBank Investment Advisers, said, “We are thrilled to continue our support of Oren and the Flock Freight team as they seek to redefine freight shipping.”
