A software startup in Solana Beach has raised $50 million from California tech investors in one of the biggest fundraising deals so far this year in San Diego County.
The company, called Flock Freight, makes software that helps shippers and carriers move products more efficiently. The startup’s software (FlockDirect) helps combine small amounts of goods — those less-than-a-truckload — into “carpools” for freight. This helps cut down the time goods are on the road, and reduces the possibility for breakage as products are unloaded and reloaded onto new delivery trucks.
The investment is one of the largest in San Diego’s startup scene this year, following two back-to-back $60 million rounds for DNA tech companies Element Biosciences and Omniome.
Founded as AuptiX in 2015 and rebranded as Flock Freight, the startup is led by CEO Oren Zaslansky, who says he grew up around entrepreneurship and freight.
“Flock Freight is pioneering the hubless shipping market, benefiting both the shipper and the carrier,” Zaslansky said in a statement. “As we continue to prioritize exceptional service and affordability for shippers and increased revenue potential for carriers, we look forward to expanding FlockDirect and our partnerships with carriers throughout the U.S.”
With the new capital, Zaslansky said Flock Freight plans to double its 65-person Solana Beach staff during 2020.
Leading the investment round in Flock Freight is Santa Monica-based GLP Capital Partners and San Francisco-based SignalFire. The company previously raised $18 million in late 2017 — an investment led by GV (previously called Google Ventures).
“We strongly believe that logistics will be one of the most exciting and disruptive industries in the years ahead,” said Alan Yang, CEO of GLP Capital Partners, in a statement. “Their FlockDirect system will build a more efficient and reliable less-than-truckload freight market, and we look forward to working with them to build a better logistics industry.”
