Last week, Austin online shipping company uShip named a new CEO. This week, the company announced it has landed $25 million for a new expansion push.
The company said Wednesday it received the funding in a deal lead by DB Schenker, one of the world’s largest logistics companies and an existing uShip partner.
The new infusion brings the total raised by uShip to $50 million, with previous rounds led by Benchmark Capital, DAG Ventures and Kleiner Perkins Caufield Byers.
Last year, uShip announced a partnership with DB Schenker to power its online trucking platform. According to uShip, the five-year agreement to create ‘Drive4Schenker’ is worth tens of millions of dollars.
“Major players like DB Schenker are taking advantage of technology that will automate and digitize their operations, helping them maintain market leadership and evolve with demand,” said Mike Williams, uShip CEO. “It’s a thrilling time to be at the leading edge of this logistics transformation and to deepen our partnership through DB Schenker’s strategic investment.”
Uship runs an online shipping marketplace that matches customers who need to move unusually big items with thousands of transport companies that can take the loads.
In recent years, uShip has moved into the $300 billion truckload freight market. The company launched uShip PRO, which lets business shippers and freight brokers build their own carrier networks and manage and automate their shipping operations.
The company said it will use the new money to accelerate development of its logistics software platform for business segments including high-volume enterprise shippers and small and midsize businesses.
As the company’s new CEO, Williams, an enterprise software industry veteran, will lead uShip as it pushes further into those markets.
Williams replaces Matt Chasen, who co-founded the company in 2003. Chasen announced in December that he would step down as CEO to pursue other interests, including getting more involved with early-stage companies.
Also in the works for uShip is a new headquarters just south of downtown on East Riverside Drive.
The company, which has outgrown its two downtown offices, said the move to the 43,000-square-foot campus at 205 E. Riverside Drive will allow it to launch an aggressive hiring plan.
Currently, uShip has just over 200 employees and has said it plans to double its workforce over three years.
“What the uShip team has built around key products and partnerships has put it on the doorstep of explosive growth,” Williams said after being named CEO. “There is a transformation under way in shipping and logistics, and there’s pressure on everyone to do things faster, cheaper, better. The market opportunity is there, and it’s up to us to execute it.”