Flexport has officially sold off the technology it previously acquired from Convoy, a former freight startup that shut down in 2023. The buyer? Flexe, a U.S. based logistics company, that focuses on warehousing and retail fulfilment.
Convoy, once valued at $3.8 billion, was considered a rising star in the digital freight industry. But in October 2023, the company unexpectedly shut down due to financial troubles. Soon after, Flexport stepped in and picked up Convoy’s tech stack and a few of its engineering staff. However, it is important to note that Flexport did not acquire Convoy’s liabilities, debts, or other business obligations. It was a technology only acquisition, aimed at improving Flexport’s freight capabilities. The tools were used to build an internal app called “Felix” to help brokers match loads to trucks.
Fast forward to now, and Flexport is making changes. Since returning as CEO, Ryan Petersen has taken steps to simplify operations, cut costs, and refocus the company. Selling Convoy’s tech appears to be part of that broader strategy. The company is reportedly reducing efforts in its domestic trucking services and returning focus to international freight, where it originally made its mark.
Meanwhile, Flexe sees value in Convoy’s software, especially as it scales its own logistics and fulfillment platform. The tech handoff happened quietly, with neither party disclosing the sale price or specific terms.
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With this move, Flexport closes a short but notable chapter, showing that not every tech acquisition guarantees long-term synergy. And for Flexe, it’s a chance to repurpose proven digital tools for a slightly different slice of the supply chain.
