 "Dollar, US Dollar")
FarEye, a global delivery management platform that provides its technology to customers such as retail giant Walmart and logistics company DHL, is raising a $100 million Series E round led by TCV and Dragoneer Investment Group.
Existing investors Eight Roads Ventures, Nandan Nilekani-backed Fundamentum and Honeywell also participated in the round. The total funding raised by the company after this round is over $150 million.
The new funds will be used to accelerate the company’s mission of empowering brands to provide Amazon Prime-like delivery experiences and redefining how products are delivered across diverse logistics networks.
New Delhi-based FarEye will further focus on expanding its software platform capabilities, drive European and North American expansion, and continue to attract world-class talent.
Founded in the year 2013 by Kushal Nahata, Gaurav Srivastava, and Gautam Kumar, FarEye is addressing a multibillion-dollar delivery management market that continues to show double-digit year on year growth.
“The growth and the digital transformation in the logistics sector has created an opportunity for software platforms like FarEye to provide a superior customer experience,” said Kushal Nahata, CEO and co-founder of FarEye. “Our ambition is to enable thousands of businesses to provide Amazon-Prime-like delivery experience, and we aim to drive innovations that re-imagine how deliveries are being managed globally.”
Nahata said the funding is very timely for the delivery and logistics sector as the company has seen consumers spending $861 billion online with U.S. retailers in 2020, up 44 per cent from $598 billion in 2019.
“We are very proud to have TCV and Dragoneer join our established investors to support our progress in becoming a global leader in delivery management,” said Nahata.
FarEye’s intelligent and sophisticated platform is used by brands to launch multiple delivery models like same-day, next-day, on-demand, and curbside from multiple inventory locations. This includes managing the end-to-end process of delivering goods or services to consumer and enterprise customers across both third party and in-house fleet models. FarEye currently serves global enterprises across retailers, manufacturers and third-party logistics providers and carriers. These include DHL e-commerce, Amway, Dominos, Walmart, Posti, Gordon Foods and UPS.
“The logistics and supply chain industry is going through a long-awaited software-led creative disruption,” said Gopi Vaddi, general partner at TCV. “This is led by emerging leaders like FarEye that provide multi-tenant SaaS platforms with low code configuration to enhance visibility to the enterprise and deliver superlative last-mile experiences for the end consumer,” said Vaddi who will now join FarEye’s board of directors.
FarEye’s platform processes over 100 million transactions each month. It supports more than 25,000 drivers and is integrated into a network of over two million vehicles. FarEye’s growth has accelerated over the last 12 months with particularly strong traction in Europe and North America. These markets collectively comprise over half of the revenues and have grown nearly three times in the same period.
“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 (third-party logistics),” said Eric Jones, partner at Dragoneer Investment Group. “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.”
Nahata of FarEye said the company witnessed about 250 per cent growth since last year due to the Covid-19 pandemic as the social distancing concept is pushing enterprises to go online and get products delivered. A year back, a large percentage of the customer profile consisted of logistics and manufacturing. That now has changed to retail as the demand for online deliveries has increased tremendously due to Covid.
“We were initially more focused on logistics service providers, but retail became number one (sector) for us because of Covid,” said Nahata.
In the retail sector, he is witnessing massive demand for grocery and consumer durables in most parts of the world including India.
Nahata said Covid has accelerated the adoption of FarEye’s technology by multiple years.
To support continued expansion, FarEye has also hired a number of senior executives over the last year. These include a new CRO, Amit Bagga (formerly President of APAC at BlueYonder and strategic sales leader at Oracle), and a new CPO, Suvrat Joshi (former executive at Dropbox, Amazon, Facebook, Microsoft).
