Logistics technology creator Imaginnovate is spinning off its Fleet Enable software platform as a stand-alone business. The announcement comes six months after Fleet Enable debuted to automate shipments for final-mile carriers.
Fleet Enable will be based in Austin, Texas, the announcement said. Krishna Vattipalli, CEO of 9-year-old Imaginnovate, will double as CEO of Fleet Enable.
“We are spinning off Fleet Enable as a separate company from Imaginnovate so Fleet Enable can have its own growth path,” said Mr. Vattipalli. “We see a large potential in the last-mile segment and we would like to innovate and bring new solutions to serve the market better. This will give Fleet Enable the ability to grow much faster.”
Here's how the two companies said they would operate:
- Imaginnovate, whose clients include Fortune 10 logistics companies,would focus on offering custom technology development and professional services to 3PLs, shippers, and carriers.
- Fleet Enable would continue automating all segments of final-mile business, from delivery routing to back-office administration.
The spinoff of Fleet Enable reflects growth in the final-mile freight market. Soaring U.S. consumer demand has placed a premium on carriers who can deliver cargo to homes or offices. A crucial subset of that sector is so-called white glove carriers who deliver, then install shipments such as appliances.
The company said its software platform uses location intelligence, data analytics, and machine learning and makes these technologies accessible to carriers of all sizes. Fleet Enable automates end-to-end operations, including scheduling, dispatching, billing, invoicing, and driver settlement.