LONDON [UK]/Mumbai, Jan 18: Northstar.vc, the venture capital firm specialising in supply chain technology and fintech, and Allcargo Group, the world’s largest LCL (less than container load) consolidator and India’s leading logistics provider, have entered into a strategic partnership to jointly explore investments in the supply chain technology space.
A partnership of complementary skillsets The two companies will leverage each other’s complementary sector expertise to maximise opportunities within this growing market sector.
Allcargo has recently embarked upon a new digital investment strategy in order to further strengthen its position as a truly digital multinational logistics organisation with unparalleled service delivery capabilities. As part of this, its subsidiary ECU Worldwide, a leading international cargo & air freight logistics company, launched digital platform ECU360 in 2018 in order to offer shippers and freight forwarders key features including quick quotes, instant bookings for door-to-door deliveries in over 50 markets, and advanced track and trace. ECU360 already captures 60 percent of all bookings worldwide.
Meanwhile, Northstar.vc, established in 2019, is an experienced LogTech investor, with a strong track record supporting management teams at leading supply chain technology firms, such as Project44, Beacon, and Trackonomy Systems, with capital and strategic value-add.
Maiden co-investment made in Stord
Earlier this year, Northstar.vc and Allcargo made their maiden co-investment in Stord, the leading US cloud supply chain provider that enables companies to intelligently orchestrate, scale, and optimise all aspects of their supply chains – including warehousing, freight and fulfillment – from a single connected platform. Stord is already a market leader, partnering with brands like BODYARMOR, Dollar General, Native, Thrasio, and more. This investment was part of Stord’s Series D round, bringing Stord’s total funding to USD 325M, as Stord continues to help brands combat ongoing supply chain challenges.
Significant market opportunity for supply chain technology
The COVID-19 pandemic has exposed the fragmentation and rigidity of traditional supply chains, and disruptions continue to impact the global economy. There is a clear need for technology that can solve the problem: according to a recent McKinsey report, 90 per cent of supply chain executives expect to overhaul their supply chain planning IT within the next five years.
With an estimated revenue of USD 20.24 billion in 2022, supply chain management (SCM) is the fastest-growing market in the Gartner enterprise application software segment and is expected to reach a value of USD 35.65 billion by 2026.
Amir Karimpour, Managing Partner at Northstar.vc said: “It is an honour to partner with the global leader in LCL and India’s largest logistics provider, Allcargo Group. Together, we are doubling down on our core investment thesis and capitalising on the current volatility and challenges of global supply chains. We look forward to jointly executing our pipeline of LogTech investments, empowering businesses to widen margins and boost operational efficiencies.”
Vaishnav Shetty, Chief Digital Officer at Allcargo Group, said: “We are delighted to formalise our strategic partnership with Northstar.vc through our co-investment in Stord. We look forward to leveraging Northstar.vc’s network as we accelerate our internal digitisation efforts to align our cultural mindset with the expectations of our global clients.”
NORTHSTAR.VC
Northstar.vc is a venture capital firm specialising in supply chain technology and fintech. The London-based company was established in 2019. Northstar.vc couples data-driven investment decisions with the conviction that relationships matter and supports disruptive technology companies within the supply chain technology and fintech space on their path to profitability. As part of its ethos, Northstar.vc assists its portfolio companies with geographic footprint expansion and transformational development, leveraging the firepower of its enterprise customer network and strategic partners.
Allcargo Logistics Limited, part of The Allcargo Group, is a global leader in multimodal logistics solutions. Allcargo Belgium NV., Operating ECU Worldwide network , is a global market leader in ocean freight consolidation. Allcargo is the market leader in Container Freight Station business in India and is among the leaders in express logistics through subsidiary Gati Ltd., besides having strong presence in Contract Logistics and other businesses. Allcargo is recognised for digitising logistics industry, setting highest quality standards, operational excellence, and customer-centricity across all businesses. The company is recognised as a great place to work.
The company currently operates out of 300 plus offices serving 180 countries. Allcargo today is one of India’s largest publicly owned logistics companies, listed on the BSE Limited {Scrip Code- 532749) and The National Stock Exchange of India Limited (Scrip Code-ALLCARGO).
Founded in 1987, ECU Worldwide is Allcargo Logistics’ wholly-owned global subsidiary. It is one of the major players in multi-modal transport and global leaders in LCL consolidation assuring smooth, safe and end-to-end coordination for its customer’s cargo. As one of the leaders in the Cargo logistics industry, ECU Worldwide leverages its synergies with in-depth knowledge of local markets and vast experience in global logistics to deliver the best through its services. The company boasts of 300+ offices in 160+ countries at 530+ destinations with 2400+ trade lanes converging their international standard expertise with over 3500+ dedicated employees from across continents.
This story is provided by PRNewswire. ANI will not be responsible in any way for the content of this article. (ANI/PRNewswire)
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