IKEA parent invests in Canadian last mile delivery provider
TORONTO – Ingka Group, parent company to this country’s second largest furniture retailer, has taken a minority stake in Bolt Logistics, a leading Canadian technology-enabled logistics and last-mile delivery provider based here.
Ingka is parent to IKEA Canada and is one of several investors who have pledged some $115 million in funding to the company which started life as Second Closet in 2017 under the leadership of chief technology officer Heindrik Bernabe and chief executive officer Mark Ang. In all, Bolt raised some $150 million in capital financing.
Bolt provides large goods delivery and fulfillment services to more than 500 merchant customers in Toronto, Montreal, Vancouver and Ottawa. In addition to IKEA, some of the furniture and home furnishings specialists using Bolt’s services include Rove Concepts, Structube, and the RugCollective.ca.
In a statement, Bolt said it has established itself as an industry leader through a simplified, customer-centric and sustainable approach to fulfillment services. Their ability to manage everything from small items to heavy-and-hard to-handle fulfillment and delivery makes them the first choice for businesses needing an all-encompassing logistics partner.
The company believes the rapidly changing e-commerce fulfillment and last-mile logistics industry needs world-class digital, efficient, and low carbon solutions.
This round of financing will be used to further penetrate Bolt’s operations in existing markets while identifying new opportunities to expand its partner pool to best serve current and prospective clients. Additionally, the financing will allow Bolt to continue growing its talent pipeline, with a projected headcount total of 1,000 employees by the end of 2021 – a 400% increase from the January headcount total of 200.
“Meeting customers where they need us most has been a relentless focus of the team since inception. While our business has undergone significant change in the past year, it’s clear that our focus on e-commerce fulfillment and last-mile logistics is exactly what the market needs,” Bolt Logistics CEO Mark Ang said.
“The support of our existing and new investors is extremely validating, and it’s the continued vote of confidence from our merchants and their shoppers that drive our business forward. I am incredibly humbled by how much we’ve accomplished so far and look forward to the milestones ahead, including an expansion into the United States,” he added.
“Ingka Investments, part of the world’s largest home furnishing retailer operating IKEA stores in 32 markets, invests for generations to come. We are keen to support Bolt in growing its position as a next-generation logistics company, as technology-enabled logistics play a key role in how we can continue to adapt to changing shopping behaviours,” said Krister Mattson, managing director of Ingka Investments.
“Bolt’s customer-centric and sustainable approach and the integration of zero-emission trucks into its fleet will contribute to reaching our goal of 100 percent zero-emission home deliveries by 2025 and support IKEA in becoming more accessible, affordable, and sustainable for many people.”