Germany-based Sendder is acquiring the European operations of Uber Freight. The takeover follows less than a year and a half after Uber set foot on European soil with its freight app. The Uber Freight name is disappearing from the European market.
Following the acquisition, Uber will acquire a minority stake in digital freight brokerSendder. The two companies say they are entering into a "strategic partnership". That is, they will refer customers to each other when transport companies are looking for truck drivers in North America or Europe. Tom Christenson, currently director of Europe at Uber Freight, will join Sennder as COO. Sennder plans to open an office in Amsterdam. Uber Freight employees will move with it to this new location.
Uber Freight in the red
With the takeover, Uber Freight seems to want to absorb its hefty losses. The freight app that links drivers to loads has ended up deep in the red in recent years, failing to turn a profit in both the US and Europe. In the fourth quarter of 2019, it made a $55 million loss.
Growth Sennder
Digital freight broker Sennder, which was founded in 2015, hopes to strengthen its position in the European transport market with the acquisition. The company merged with French counterpart Everoad in June. It also started a joint venture with Poste Italiane, Italy's largest logistics service provider. Sennder says it processes 50,000 loads a month in 31 countries.
