PAXAFE, a company delivering AI-powered decision support for cold chain logistics, announced a $9 million Series A funding round led by Framework Venture Partners. New participants included M12 (Microsoft’s Venture Fund), Rosecliff Ventures, Elevate Ventures, AngelList Quant Fund, Gaingels, Mana Ventures, and existing participants Ubiquity Ventures and Venture53.
This new funding round raises the total to $14 million. The funding will meet increasing customer demand, fuel product innovation, and expand global operations and key partner ecosystems.
Global cold chain, one of the fastest-growing sectors in the supply chain, was valued at over $281 billion in 2022, and it is expected to reach $327 billion by 2029. The essential need for constant refrigeration from source to destination has created significant cost and time-related challenges for cold chain logistics. And PAXAFE is transforming workflow automation and managing temperature-sensitive products in transit and storage across industries such as pharmaceuticals and production.
PAXAFE addresses quality, transportation, and logistics operations for high-profile pharmaceutical and produce manufacturers and cold chain service providers such as Carrier, Transposafe, and Hive-Zox.
The company’s SaaS platform CONTXT quantifies strategic and operational risk, proactively predicts adverse events, and recommends requisite actions to ensure perishable goods are delivered on time and in expected conditions. And CONTXT helps end-users make complex, data-driven decisions in minutes without requiring a significant financial investment in consultative support.
KEY QUOTES:
“We are on a mission to quantify strategic and operational cold chain risk through AI-powered automation. For the past decade, we’ve witnessed the industry adopt IoT sensors as a means for addressing mission-critical issues such as on-time, in-full (OTIF) product deliveries. Yet, real-time sensor data is limited without contextual analysis and prescriptive, recommended action. On behalf of the entire PAXAFE team, we’d like to thank our investors for their continued support as we expand our footprint, enhance our platform and build partnerships that reshape the industry.”
- Ilya Preston, co-founder and CEO, PAXAFE
“In an industry saturated with companies claiming GPT capabilities, PAXAFE is the one true AI-powered risk provider in cold chain logistics. Knowing exact arrival times and being able to act before disaster strikes are key for supply chain resiliency. PAXAFE enables real-time visibility, a must-have for any enterprise moving goods that require climate and oscillation control.”
- Peter Misek, Managing Partner, Framework Venture Partners
“As an investor at M12, I’m delighted to be part of PAXAFE’s Series A funding round. The team at PAXAFE has shown remarkable innovation in visibility and risk management, and their platform is poised to transform the industry via applied uses of AI that deliver measurable ROI for customers. This investment is not just about financial opportunity, but about being a partner to PAXAFE on a journey that could reshape the way we understand and manage supply chain risks.”
- Peter Berg, Managing Partner, M12
