By Marc Vartabedian via WallStreet Journal Pro Venture Capital
August 18, 2020
Attabotics Inc., a startup aiming to use robotics to improve supply chain systems, raised $50 million as companies search for new ways to make distribution processes more efficient amid surging demand and disruptions resulting from the coronavirus pandemic.
The Series C funding round, which was led by Ontario Teachers’ Pension Plan Board and included Honeywell Ventures, brought Attabotics’s total funding to $82.7million.
The new capital will be used to accelerate the commercial deployment of its products, as well as to invest in new technologies and to expand its manufacturing operations.
Attabotics, of Calgary, Alberta, builds robots and software that aim to condense traditional warehouses into vertical storage structures inside warehouses, in which robotic shuttles move to store and deliver goods to workers that pick, pack and ship commerce orders. Attabotics’s technology is used in sectors including retail and food and beverage and by customers that include Nordstrom Inc.
Since the start of the pandemic, Attabotics has seen a 400% increase in the number of inquiries and conversations with retailers who want to improve their supply chain efficiency, said Scott Gravelle, Attabotics’s founder, chief executive and chief technology officer.
Attabotics is developing a “robots as a service” and a “fulfillment as a service” business models, in which customers pay a subscription for the use of the robots and for the fulfillment services the robots provide, said Mr. Gravelle.
“The world is struggling with a global pandemic, which has dramatically accelerated consumer behavior,” Mr. Gravelle said. “The funding will allow us to continue to accelerate the growth of our team and technology into an increasingly validated market.”