ORLEN invests to strengthen its supply chain
PKN ORLEN will streamline supply processes across its operations thanks to the investment in Shippeo's innovative platform, a practically industry-agnostic solution that will enhance the management of logistics processes. It is PKN ORLEN's fifth and largest-to-date direct investment made via the ORLEN VC corporate fund. Shippeo's platform has already been successfully deployed by Coca-Cola HBC, Carrefour, Renault Group and Total, to name but a few.
- In the very first year of its operation, the ORLEN VC corporate fund has built a portfolio of five technology companies from all around Europe plus two foreign investment funds. As a result, we are now ranked not only among the largest but also the most active investment funds in the CEE region. We are constantly on the lookout for attractive investment opportunities to support the Group’s further growth after the merger and to develop innovations and new technologies across our business segments - said Daniel Obajtek, President of the Management Board of PKN ORLEN.
The ORLEN VC corporate fund closed its first year with seven equity investments worth over PLN 150 million. With the most recent investment in Shippeo, it has joined the group of global venture capital funds such as Battery Ventures, Nokia Growth Partners, ETF Partners, Bpifrance Digital Venture, SAP.io, LFX Venture Partners and Yamaha Motor Ventures. Shippeo is the fifth company in ORLEN VC’s portfolio, which already features two Polish companies (ICSec and Apeiron Synthesis) and two foreign investments (Eologix and Invert Robotics). In 2022, ORLEN VC also invested in two funds: Emerald Industrial Innovation Fund and Environmental Technologies Fund.
The French company Shippeo offers a powerful technology with a wide range of functionalities and an extensive toolbox under a single platform, which helps develop more efficient, automated and sustainable supply chain management processes, improving cooperation among all parties involved. Shippeo is a trusted partner of globally recognized brands such as Coca-Cola HBC, Carrefour, Renault Group, Schneider Electric, Total, Faurecia and Saint-Gobain. The company currently keeps track of more than 32 million shipments per year in 110 countries. Shippeo’s key technology underlying its strong market position is its proprietary machine learning algorithm, predicting delivery times with unparalleled accuracy. It is powered by real-time data from more than 850 sources, such as telematics systems, TMS, or API/EDI, enabling the tracking of all deliveries across all modes of transport. Thanks to real-time visibility of supply chains and rapid response to emerging issues, Shippeo’s clients can generate significant savings, while the company’s advanced analytical modules will help them optimise the existing inefficiencies, also in terms of their carbon footprint.
The capital raised in the current financing round is to be applied by Shippeo towards ongoing development of its platform, which will allow the company to deliver more value to its clients, as well as towards further expansion into North American and Asian markets.
- The logistics processes across PKN ORLEN are clearly becoming increasingly complex. This poses a major challenge, especially given the merger with the LOTOS and PGNiG Groups. ORLEN VC’s investment in technologies that enhance supply chain visibility can help us deal with those challenges more effectively, because improved supply chain visibility is the key to better management of our operations and process optimisation. Deployment of such solutions across the Group can increase our operational efficiency and performance - says Marek Garniewski, CEO of ORLEN VC.
ORLEN VC’s investment focus is on the following technology sectors: petrochemicals, energy (transition, efficiency, digitalisation, renewables, storage), circular economy (recycling, waste management), cybersecurity, modern retail (automation of purchasing processes and digitalisation of sales and logistics), next-generation biofuels, advanced materials, new mobility, digital transformation (software, IOT), and industry 4.0.