Uber Freight, Uber’s separate freight division, has announced Thursday that it will be acquiring Transplace, a shipping software company that would put the transportation logistics company at a valuation of over $2.25 billion.
Transplace produces software that helps manage shipping and logistics for a company’s supply chain. The latest acquisition, which consists of $750 million worth of Uber’s common stock in addition to cash, is a rare move for Uber and its freight division, given that the ride-hailing company has dropped is profit-eroding self-driving segment and flying taxi unit in just the past year.
The latest deal is expected to accelerate the trucking division’s goal to reach profitability. Although Uber Freight is only responsible for a small fragment of Uber’s entire revenue, the division reported revenues of $301 million in the first quarter of 2021, up 51% compared to the same quarter a year earlier.
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