Logistics tech startup Flexe raises $119 million in Series D funding; now valued at over $1 billion
Omnichannel logistics is a term you’ve probably heard about. The idea sounds great but when you think about all the aspects that have to work together including inventory, distribution, and the entire supply chain housed on a single channel, you begin to realize the complexity and challenges involved.
Today, the world’s largest brands and retailers are faced with Omnichannel logistics challenges such as inventory visibility, return logistics, order processing, and supply chain integration, among others. One startup at the forefront of solving the hardest problems is Flexe, a Seattle-based tech startup that delivers omnichannel logistics programs for eCommerce fulfillment, retail distribution, same-day delivery, and network capacity.
By integrating technology, open logistics networks, and elastic economic models, Flexe gives retailers a unified delivery across all channels and enables them to purchase warehousing space in an on-demand fashion and turn the traditionally fixed expenditure into a variable cost.
Today, Flexe announced it has raised $119 million in a Series D round from investors including BlackRock and Tiger Global. The round also drew new investments from funds and accounts managed by T. Rowe Price Associates, Madrona Ventures, and Prologis Ventures among others. The latest round brings the company’s valuation to over $1 billion, making Flexe a member of the highly coveted unicorn club.
Founded in 2013 by CEO Karl Siebrecht, Edmond Yue, and Francis Duong, Flexe provides scalable warehousing solutions, retail distribution, and same-day delivery. The startup brings deep logistics expertise and enterprise-grade technology to deliver innovative eCommerce fulfillment, retail distribution, same-day delivery, and network capacity programs to the Fortune 500.
The funding comes at a time when technology startups are struggling to raise new funds. In a statement, Siebrecht said: “Despite changing economic conditions, Flexe added nearly as many enterprise customers in the first six months of 2022 as it did all of last year and continues to see strong demand. Our model allows organizations to scale fast in strong economic environments and reduce risk, capital investment and long-term commitments when they face uncertainty.”
Flexe Logistics Programs are an increasingly critical aspect of its customers’ operations. Six of the ten largest retailers and four of the five largest consumer packaged goods companies work with Flexe to run programmatic logistics as part of their supply chain strategies.
“Flexe uniquely helps enterprise retailers and brands solve big supply chain challenges and excel in uncertain environments,” said Samir Menon, BlackRock Private Equity Partners. “Flexe has demonstrated that programmatic logistics deliver value for the world’s most demanding companies. We’re pleased to partner with a category creator that is transforming a massive industry.”