The pandemic has dramatically increased the need for scaling supply chains to meet soaring demands, and logistics software-as-a-service (SaaS) platform FarEye is the latest to benefit from it. The logistics management platform has raised $100 million in its latest Series E funding round led by US-based investors Technology Crossover Ventures (TCV) and Dragoneer Investment Group as it looks to expand its services into the international market, especially Europe and North America.
The funding round also saw participation from existing investors Eight Roads Ventures, Fundamentum, and Honeywell. As part of the transaction, TCV’s General Partner Gopi Vaddi will join FarEye’s Board of Directors.
This comes after the start-up had raised $37.5 million in its Series D funding round in April 2020. The company has raised upwards of $150 million to date.
According to FarEye, the proceeds from the fundraiser would be used to expand its software platform capabilities and attract talent, thus expanding its team. It will also enable firms to provide Amazon Prime-like delivery experiences and redefine how products are delivered across diverse logistics networks.
FarEye, having worked with over 150 e-commerce and delivery companies globally — (including Walmart, UPS, DHL e-commerce, Domino’s, Posti, and Gordon Foods, and Amway) and processed over 100 million transactions each month, is a well-known name in the market. It aims to simplify and optimize, track and orchestrate logistics operations of businesses. When it comes to delivery, it manages the end-to-end process of delivering goods and services to customers across both third party as well as in-house fleet models, while lowering the logistics costs and maintaining transparency across the entire process. The SaaS platform aids all kinds of businesses, and thus it is of little wonder that it has over two million vehicles and over 25,000 drivers today. Its growth has accelerated over the last 12 months, especially in Europe and North America, which make up more than 50% of its revenue.
“FarEye’s leading delivery management platform provides impressive visibility and control across the supply chain, which has never been more critical for retailers, manufacturers, and 3PLs,” said Eric Jones, Partner at Dragoneer Investment Group, in a statement. “We look forward to partnering with FarEye as they continue to redefine how products are delivered across diverse logistics networks and expand their footprint in Europe and North America.”
FarEye CEO Kushal Nahata felt that the funding was very timely for the delivery and logistics sector as customers have been spending $861 billion in online transactions with US retailers in 2020. This is, of course, thanks to the pandemic which forced people to go online, especially when it came to ordering groceries or food. “The growth and the digital transformation in the logistics sector have created an opportunity for software platforms like FarEye to provide a superior customer experience,” he added.