Maergo (previously known as X Delivery), the trusted national carrier serving retailers and DTC brands with faster, greener shipping, today announced it has closed a $20M seed round. Lead investors included Deep Lake Capital, funds managed by investor and entrepreneur Neel Shah, and ACR Strategic Credit, with participation from RyderVentures, the venture capital arm of Ryder System, Inc. With this closing, the company also completed its rebrand to Maergo.
Maergo’s fundraise follows a year of product development, team growth, and sales progress with the addition of customers including Saks Fifth Avenue, Allbirds, Chubbies, and Buck Mason. These retailers join a growing list of clients focused on improving the delivery experience for their customers. Technology updates include improvements to their predictive, real-time decision and routing platform that continuously optimizes first, middle, and last mile operations.
“Since I joined the firm, we’ve focused on solving one of the biggest challenges facing brands today—getting orders to customers faster at a lower price and in an eco-friendly way,” said Mark Lavelle, CEO of Maergo. “We’re excited about empowering our clients to meet these objectives while helping them maintain control over customer data and the post-purchase experience.”
Maergo has delivered more than 8 million shipments. Prior to Maergo, Lavelle was CEO of Magento, which he led to a $1.7B sale to Adobe in 2018, and was cofounder of Bill Me Later, the first BNPL company acquired by PayPal.
“The investment we’ve made in Maergo through RyderVentures is consistent with our strategy to bring to market new technology-driven solutions that tackle disruptions in the supply chain. The high-growth ecommerce business is a major focus area for us,” says Karen Jones, CMO and head of new product development at Ryder. “With the growth of ecommerce and resulting capacity constraints, shippers are looking for more flexible parcel solutions. Through Maergo’s tech-first approach to parcel delivery, they’re leveraging existing capacity to offer an end-to-end solution. That’s both compelling and exciting for us and our customer base of high-growth brands.”
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