FreightAmigo's Perspective on Freightos Going Public: What It Means for the Digital Freight Industry

Introduction: A Milestone for Digital Freight Booking

The freight industry is witnessing a significant transformation as Freightos, a leading global freight booking and payment platform, announces its plans to go public through a merger with Gesher I Acquisition Corp. This development marks a crucial milestone in the digitalization of the freight industry, with far-reaching implications for logistics providers, freight forwarders, and shippers worldwide.

As a digital supply chain finance platform, we at FreightAmigo are keenly observing these industry shifts. Let's delve into the details of this merger and explore what it means for the future of digital freight booking and the broader logistics ecosystem.

The Freightos-Gesher Merger: Key Points

Here are the essential details of the Freightos-Gesher merger:

• Freightos will be publicly listed on NASDAQ under the ticker symbol FROS.
• The combined entity will have a pro forma enterprise value of approximately $435 million.
• The merger is expected to generate gross proceeds of at least $80 million.
• Existing Freightos shareholders are expected to own up to 78% of the combined company after funding.
• The transaction is anticipated to close in the second half of 2022, subject to customary closing conditions and regulatory approvals.

The Growth of Digital Freight Booking

Freightos' decision to go public reflects the rapid growth and increasing adoption of digital solutions in the freight industry. Some key indicators of this growth include:

• Freightos has experienced a 213% CAGR in gross booking value (GBV) between Q1 2019 and Q1 2022.
• The platform has attracted over 10,000 importers/exporters, 3,500 freight forwarders, and 200 carriers.
• Freightos facilitates hundreds of thousands of international freight bookings annually.
• The total addressable market for digital freight is estimated to reach $1.8 trillion in GBV by 2025.

These figures underscore the growing demand for digital solutions that streamline freight booking processes and enhance supply chain transparency.

Implications for the Freight Industry

The Freightos-Gesher merger and subsequent public listing have several implications for the freight industry:

1. Accelerated Digital Transformation

This development is likely to accelerate the adoption of digital solutions across the freight industry. As more stakeholders recognize the benefits of digital platforms, we can expect to see increased investment in technology and innovation.

2. Enhanced Transparency and Efficiency

Digital platforms like Freightos and FreightAmigo are bringing unprecedented transparency to freight pricing and booking processes. This transparency can lead to more efficient operations and better decision-making for all parties involved in the supply chain.

3. Increased Competition and Innovation

As digital freight platforms gain more attention and investment, we can expect to see increased competition in the space. This competition will likely drive further innovation, benefiting shippers, freight forwarders, and carriers alike.

4. Greater Focus on Data and Analytics

With Freightos going public, there will likely be an increased focus on data and analytics in the freight industry. This could lead to more sophisticated pricing models, improved forecasting, and better capacity utilization across the sector.

FreightAmigo's Role in the Evolving Digital Freight Landscape

As the freight industry continues to evolve, FreightAmigo remains committed to providing innovative digital solutions that address the challenges faced by our clients. Our digital supply chain finance platform offers several key advantages:

1. Comprehensive Digital Solutions

FreightAmigo's platform combines artificial intelligence, big data, FreighTech, FinTech, InsurTech, and GreenTech to provide a holistic solution for logistics management. This integrated approach allows us to address multiple aspects of the supply chain simultaneously.

2. Enhanced Efficiency and Transparency

Our platform enables clients to compare door-to-door freight quotes for various transportation modes, track shipments in real-time, and automate shipment documents. These features significantly enhance efficiency and transparency in logistics operations.

3. Value-Added Services

Beyond freight booking, FreightAmigo offers additional services such as customs clearance, cargo insurance, and trade finance. This comprehensive approach allows our clients to manage multiple aspects of their logistics operations through a single platform.

4. Commitment to Sustainability

As part of our GreenTech initiatives, we provide carbon emissions data for shipping options, enabling our clients to make more environmentally conscious decisions.

The Road Ahead: Opportunities and Challenges

The Freightos-Gesher merger and the overall trend towards digitalization in the freight industry present both opportunities and challenges:

Opportunities:

• Increased investment in digital freight solutions
• Greater adoption of digital platforms by shippers, freight forwarders, and carriers
• Improved data analytics capabilities for better decision-making
• Enhanced integration across different aspects of the supply chain

Challenges:

• Ensuring data security and privacy in an increasingly digital environment
• Managing the transition for companies still reliant on traditional processes
• Addressing potential resistance to change within the industry
• Maintaining a balance between digital efficiency and personal relationships in logistics

Conclusion: Embracing the Digital Future of Freight

The Freightos-Gesher merger represents a significant milestone in the digital transformation of the freight industry. As digital platforms continue to gain traction, we at FreightAmigo remain committed to innovating and providing cutting-edge solutions that address the evolving needs of our clients.

By embracing digital technologies, we can collectively work towards a more efficient, transparent, and sustainable future for global logistics. As the industry continues to evolve, FreightAmigo will remain at the forefront, helping our clients navigate the complexities of modern supply chains and capitalize on the opportunities presented by digital transformation.

We invite you to join us on this exciting journey towards a digitally-enabled future in logistics. Together, we can redefine the way organizations experience and manage their supply chains, creating new pathways for growth and efficiency in the global trade ecosystem.