Miami-based startup SkySpace Cargo developed the first online booking platform for air cargo, allowing freight forwarders to compare routes, get quotes and coordinate vendors in real time. The startup has enjoyed rapid growth since its founding in 2016, opening three new locations this year to serve its expanding customer base.
The innovative technology has garnered attention from customers and investors alike. On April 25, 2019, Beijing-based Sino VC submitted an offer to buy 100 percent of the company’s shares for $21 million, according to records filed with the Chinese Securities Regulatory Commission. SkySpace rejected the early venture firm’s un-solicited acquisition offer.
A representative from the startup said its board of directors “carefully considered the proposal, noting that the company has not conducted and is not conducting a sale process.” Though the online freight marketplace has received other attractive offers, they concluded that “the company is not for sale.”
SkySpace CEO Toby Raworth believes it is too soon in the startup’s trajectory for a sale or significant change in the company structure. He emphasized that he did not start this project in pursuit of a quick exit, but rather intends to build long term and lasting partnerships in the industry.
An industry veteran himself, Raworth founded SkySpace to address some of the inefficiencies in international freight forwarding logistics. The company partners with more than 100 airlines to offer 50,000 searchable flight options, with prices updated daily. It represents significant time savings and cost predictability for freight forwarders, which has fueled the startup’s growth. Over the last 12 months, SkySpace has opened customer service centers in Miami, Mexico and Buenos Aires, and has announced intentions to expand to Poland and China in the coming year.
Despite modest returns, the company’s large subscriber base and low-cost model present an enticing opportunity for investors. The technology could be leveraged by companies with peer-to-peer or user-centric platform management needs.
Though not currently looking to sell, the company representative said SkySpace will provide would-be investors notice of any potential acquisition opportunities should the situation change.
“Any future determination of whether to pursue a sale or other strategic transaction would be made by the board of directors and senior management based on the particular facts and circumstances and an evaluation of whether any such transaction would be in the best interests of our stakeholders,” records show.
Media ContactCompany Name: SkySpace CargoContact Person: Eduardo OchoaEmail: Send EmailPhone: 1-800-679-2163City: MiamiState: FloridaCountry: United StatesWebsite: www.skyspacecargo.com
