- Finland’s Relex Solutions has raised €500 million ($568 million) for its software platform that automates retail supply chains, helping grocers reduce food waste and meet consumer demand more efficiently.
- Blackstone Growth, a unit of New York-based asset manager Blackstone, led the round with participation from several other institutional investors.
- Relex said it’ll use the funds to hire “hundreds of developers and experts.”
Why it matters:
Grocers and other retailers use the Relex Living Retail Platform to help decide which products to buy, and when. According to Relex, the platform relies on “AI-driven demand forecasts” that work across the entire supply chain, from retailers’ stores to distribution and fulfillment centers.
This can cut down on retail food waste, which accounts for 13% of the 931 million tons of food wasted each year globally. An estimated 8-10% of global greenhouse gas emissions are associated with food waste.
More precise forecasting also allows companies to respond more quickly to changing consumer demand and unexpected supply chain disruption.
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As underscored by the size of this round, demand for Relex’s solution is growing. The company, which now has offices across Europe as well as in Asia and Oceania, grew its customer base to over 350 clients in 2021 and doubled its software revenue. Customers include grocers and supermarkets like Marks & Spencer and Morrisons in addition to non-food chains such as Dollar Tree, PetSmart, and Sephora.