Forto, a logistics startup last valued at $2.1B, in talks with Moelis for potential merger or sale

Forto, a Germany-based freight forwarding startup that was last valued at $2.1 billion, is working with investment bank Moelis & Co. to explore options, including a potential merger or sale, The Information reported, citing a person involved in the discussions.

Forto stands as one of the closest venture-backed competitors to U.S.-based Flexport, which has also been struggling with a prolonged freight market slump. Both companies are now trying to operate more sustainably after years of aggressive spending to grab market share from industry giants.

Since its inception about a decade ago, Forto has raised over $600 million from investors including SoftBank. In 2021 Forto secured a $240 million round led by SoftBank Vision Fund 2. Citi Ventures, G Squared, and existing backers like Northzone, Inven Capital, Cherry Ventures, and Unbound also participated. At the time, Forto said the funding would help advance its mission of making global trade more sustainable.

“Forto, a Germany-based freight forwarding company that has raised more than $600 million from investors including SoftBank, has been working with investment bank Moelis & Co. to explore options including a potential merger or sale, according to a person involved in the discussions,” The Information reported.

The decision to work with Moelis suggests that Forto is actively considering strategic options to strengthen its market position and future growth. Known for its digital freight forwarding and supply chain solutions, the startup has steadily expanded its global reach.

Founded in Berlin in 2016 by Erik Muttersbach and Michael Wax, Forto, previously known as FreightHub, offers an online platform that streamlines freight forwarding operations. The company focuses on developing tech-driven logistics services that simplify more than just the transportation of goods from point A to point B.

Over the years, Forto has built a solid customer base of more than 2,000 companies while growing its team to over 250 logistics and tech professionals across nine offices worldwide. In 2019, it raised over $30 million from top-tier VCs, and today, the company employs more than 200 people.

With Moelis now advising Forto, industry watchers are waiting to see whether the company will opt for a merger, a sale, or perhaps another round of funding to stay competitive in a sector that’s been feeling the pressure from slowing global trade.