Attabotics secures $95 million CAD from EDC, Ontario Lecturers’ to scale its warehouse robots

Over the previous six and a half years, Calgary-based 3D robotics provide chain agency Attabotics has centered its efforts on turning what started as a clean sheet of paper right into a commercialized warehouse automation system for retailers.

Following hundreds of prototypes and thousands and thousands of check cycles, the corporate launched its ‘Attabot’ robotic in September.

“Now we’re at some extent the place it’s time to essentially push it in the marketplace and begin to scale the enterprise.”
-Scott Gravelle, Attabotics

With its tech lastly prepared and $95 million CAD ($71.7 million USD) in contemporary “Collection C-1” funding, Attabotics founder and CEO Scott Gravelle stated the startup is ready to begin scaling.

“We’ve spent most of our earlier funding on commercializing and hardening the know-how, and now we’re at some extent the place it’s time to essentially push it in the marketplace and begin to scale the enterprise,” Gravelle informed BetaKit in an interview.

Attabotics’ all-equity, all-primary financing was led by new investor Export Growth Canada (EDC), with assist from Ontario Lecturers’ Pension Plan Board by means of Lecturers’ Enterprise Development. The pension fund beforehand led the Calgary startup’s $66 million mid-2020 Collection C spherical. This newest capital brings Attabotics’ whole funding to round $220 million CAD ($165 million USD).

Based in 2015, Attabotics describes itself as “the world’s first 3D robotics provide chain system for contemporary commerce.” The startup claims its ant colony-inspired automated success resolution can enhance the flexibleness and velocity of warehouse processes whereas additionally decreasing warehouse wants by as much as 85 %, enabling retailers to put robot-run success centres nearer to city areas and facilitate sooner deliveries.

Attabotics replaces the rows and aisles of conventional, legacy success facilities with its patented storage construction and robotics shuttles, which make the most of each horizontal and vertical house. The corporate’s tech has already been adopted by main manufacturers and retailers within the attire, meals and beverage, and residential items verticals, and put in in warehouses throughout Canada and the US (US).

RELATED: Attabotics appoints former Microsoft, Amazon chief Cyra Richardson as CTO and CPO

In its quest to disrupt the large commerce success business and assist shut the last-mile supply hole, Attabotics faces stiff competitors from retail incumbents like Amazon and fellow robotics companies seeking to convey extra effectivity to the storage and supply house.

Throughout COVID-19, the success and logistics market grew as supply demand rose, resulting in elevated competitors for last-mile actual property. However these circumstances have since given strategy to an unsure financial local weather that has seen the pandemic-driven e-commerce increase wane and shopper confidence fall amid the return of bodily retail and rising inflation and rates of interest. This surroundings has additionally made it costlier to borrow and more durable for startups to boost capital.

Gravelle believes these circumstances provide a “nice mandate for automation” and pose a big alternative for Attabotics’ resolution, which helps clients retailer and ship extra merchandise from a smaller, cheaper actual property footprint, and requires fewer staff. Each elements might work to the agency’s profit as manufacturers and retailers look to chop prices and deal with a labour scarcity.

Guillermo Freire, senior VP at EDC’s mid-market group, informed BetaKit in an interview that EDC believes Attabotics is poised to turn out to be a frontrunner in its sector, citing its aggressive worth proposition and robust present buyer base, which incorporates Nordstrom and Canadian Tire.