Cloud supply chain warehousing and logistics firm Stord announced on Tuesday an additional $120 million in series D financing, bringing the total funding in this series D to $210 million. The first $90 million was announced in September.
The latest funding was led by Franklin Templeton. The entire series D included participation from new investors Sozo Ventures, Strike Capital and 137 Ventures, along with existing investors Kleiner Perkins, Founders Fund, BOND, Susa Ventures, Dynamo Ventures, Lux Capital and Salesforce Ventures.
The new funding values Stord at $1.3 billion.
“Supply chains have become the new competitive differentiator for brands. Online consumer expectations, combined with recent supply chain disruptions, labor shortages and logistics issues are forcing companies to reevaluate, prioritize and reinvest in their supply chains,” said Sean Henry, co-founder and CEO of Stord. “With Stord, companies never have to worry about their logistics again.”
Watch: Stord’s Sean Henry talks growing a business
Stord has seen significant growth since its founding, driven in part by the rapid acceleration of e-commerce spending. According to a recent McKinsey report, 90% of supply chain executives expect to overhaul their supply chain planning IT within the next five years. That has increased the interest in Stord’s solution, which is an end-to-end solution for shippers through a cloud-based platform connected to warehouses and carriers. The company offers national warehouse capacity, digital freight shipping, an integrated logistics network and two-day fulfillment for e-commerce orders from anywhere in the U.S.
Evolving supply chain
“Supply chain infrastructure has yet to evolve to meet today’s customer expectations or the complex needs of omnichannel business,” said Robert Stevenson, co-director of private investing for Franklin Equity Group at Franklin Templeton. “The many supply chain challenges of the past few years have exacerbated this situation, exposing the fragmentation and rigidity of traditional supply chains. Stord connects physical supply chain infrastructure and services with cloud software and opens up the power of world-class logistics as a scalable plug-and-play utility for growing brands.”
In the past six months, Stord has grown its headcount from 400 to over 700 and expects to finish 2022 with more than 1,000 employees. There are now over 1,000 facilities in its network and major retail brands, including Thrasio, Native, Tula, JUDY, Curie and One Fresh Pillow, have joined its network.
The executive ranks have been bolstered as well with veteran talent from some of the world’s leading companies, including Steve Swan, formerly of Amazon, a COO; Shyam Sundar, formerly of Amazon, Zendesk and Mapbox, as vice president of engineering; Sarah Feulner, formerly of Bumble, as vice president of people; Mark Satisky, formerly of NCR, as vice president of corporate development; and Mario Paganini, formerly of Shippo, as vice president of marketing.
Stord acquired Fulfillment Works, a direct-to-consumer fulfillment provider, in September. Fulfillment Works has three warehouses — in Reno, Nevada, and North Haven and Shelton, Connecticut. The company offers EDI order processing, logistics management services, warehouse management, inventory management and value-added services such as customer service and call center outsourcing and customized packaging services.