Clearpath Robotics Inc. (“the Company”) or (“Clearpath”), a leading industrial robotics company, is pleased to announce today that it has completed a US$5,000,000 Secure Convertible Note financing with BDC Capital Inc., as part of its Bridge Financing Program. This funding, combined with Clearpath’s previously announced Series C financing, brings the total raised in the last year to US$43.4 million. The funds will be used for working capital, product development, and building out sales and marketing operations for the Company and its division of OTTO Motors.
OTTO Motors has installed its robotic delivery system at some of the most recognized brands in the consumer goods and automotive industries. The system uses autonomous mobile robots (AMRs) to automate the repetitive, and often dangerous task, of moving materials and allows companies to redeploy workers to higher-value roles. OTTO’s best-in-class fleet management software orchestrates large AMR fleets and allows enterprises to integrate autonomous material handling seamlessly into their overall operations.
OTTO Motors lined up in a warehouse (image courtesy of OTTO Motors)
“As a growth stage company, BDC Capital is just the team we need to propel our growth in industrial robotics,” said Matthew Rendall, CEO of Clearpath Robotics. “Today, manufacturers are faced with increasing pressures to reduce costs and improve efficiencies. When deployed at scale, manufacturers can operate 24/7 while saving costs on human labor as OTTO AMRs are 10% the cost of a full-time equivalent material handler.”
“The pandemic has exposed the increasing need for factory automation and Clearpath is well-positioned to support this necessary transition for many industries.,” said Jerôme Nycz, Executive Vice President, BDC Capital. “Our participation in this financing reflects our confidence in a company that is establishing Canada as a leader in robotics”.
BDC Capital’s Bridge Financing Program aims to support eligible Canadian venture firm-backed companies who have experienced rapidly changing business conditions as a result of the pandemic.
According to Interact Analysis, material handling mobile robot revenues will surge by 50% in 2021 as the impact of the pandemic leads to greater demand for mobile automation.
OTTO Motors was one of the first companies to offer AMRs when it was established in 2015. Since then, the Company has installed some of the world’s largest deployments of AMRs to help its customers save significant costs while improving productivity. The OTTO robotic delivery system has been primarily adopted by large manufacturers, in fact, 70% of the OTTO AMRs installed have been at F500 companies. More and more manufacturers are following the lead of these large enterprises to solve their labour availability challenges and increase competitiveness.
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