Convoy has raised a funding of $185 Million in a Series D fund, totaling to an amount of $668 million dollars
Fremont, CA: Convoy, the company which was popularly known as “Uber for Trucking,” raised $400 million in its latest Series D funding round. The funding round was co-led by Generation Investment Management and T. Rowe Price Associates funds.
Convoy’s main aim is to eliminate the inefficiencies and environmental toll that trucking produces by creating a digital freight network similar to the shipments with its carriers.
Convoy has presented two significant breakthroughs to transform the conventional trucking in the United States last year, Chief Product Officer Ziad Ismail said. The company matches more than 95 percent of the trucks with its network of technologies and allows the truckers two or three jobs at once instead of a single ride as it will boost their efficiency.
“We’re not trying to replicate and scale the existing model, we’re trying to build something very different,” Ismail said in an interview with Crunchbase News. The new round of funding will help further Convoy’s matching and efficiency efforts.
According to Ziad, the U.S. Market for trucking is about $1 trillion, and more than one other high-profile competitor is trying to disrupt it.
The company announced in September that it would be investing $200 million annually into growing its Uber Freight operations. But Ziad conveyed that Convoy isn’t focusing on Uber or other players in the same space. The field is divided into traditional shippers or acquired ones; The Convoy has been zeroed in on having an efficient, tech-first, environmentally-friendly model all along.
“We’re focused on this mission on transporting the world with zero waste…what we’ve been able to build with this team, leads the industry,” Ismail said.
Generation Investment Management co-led the new Series D round as a new investor after first becoming acquainted with Convoy in 2016, according to Generation partner Joy Tuffield.
“This is a space we have researched and looked at for several years now,” Tuffield said. “Convoy was a company that intrigued us.”
“We are a firm that truly backs one kind of game in town…we’re putting our full force behind making sure it’s a success,” Tuffield said.
Convoy’s investors include Greylock Partners, Y Combinator, Salesforce co-CEO Marc Benioff, U2’s Bono and The Edge.
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