Blackstone to invest up to $130m in logistics paytech PayCargo
Logistics payments and data infrastructure platform PayCargo has announced a new investment of up to $130 million from funds managed by Blackstone Growth (BXG).
The US-based firm says BXG’s investment will support its expansion both domestically and internationally, development of new products, as well as potential growth opportunities through M&A.
Blackstone, through its private equity, infrastructure and real estate businesses, has invested significantly in the broader logistics, supply chain and e-commerce space, including acquiring a large port operator in North America and over 1.1 billion sq ft of warehouse assets globally.
Eduardo Del Riego, PayCargo’s CEO, says the company is committed “to transforming the movement of goods” and the Blackstone partnership plays “an important role” in this.
“Like Blackstone, we share the same mission and vision – serving the needs of our customers by building the largest independent freight payments network,” he explains.
PayCargo’s cloud-based payments network enables payers to pay air and ocean carriers, maritime ports, ground handlers, freight forwarders and customs brokers, among others.
It integrates with over 50 transportation management systems (TMS), enterprise resource planning (ERP) and terminal operating systems (TOS) entities across various transport modes (ocean, air, rail and trucking).
It has a network of more than 40,000 businesses and over 5,000 active vendors.
“Profitable since an early stage, PayCargo continues to invest in software updates, development and enterprise-grade security to support this hyper-growth,” the company states.
It highlights new tools such as real-time customer reporting and invoicing, as well as new workflow tools to streamline partial payments and reconciliation, advanced payments and automated refunds in any currency.
PayCargo was founded in 2007 and is headquartered in Coral Gables, Florida.
In mid-2021, it received a $125 million investment from Insight Partners, part of its Series B round.