German construction site bulk materials marketplace Schüttflix has raised $50 million in a new Draper Esprit-led funding round. The service effectively replaces the middleman and connects suppliers and carriers directly with consumers in the building industry. The new round is expected to accelerate Schüttflix’s planned entries into the Austrian, Polish, and Czech markets in 2022. To date, Schüttflix has raised approximately €57 million.
Founded in 2018, Schüttflix has delivered over 2.5 million tonnes of materials via 100,000+ shipments in Germany alone, no minor feat in an industry that has been traditionally run by pen and paper. And German pens and German paper. In other words, about as traditional as traditional can get, at least as far as the baustelle goes.
Schüttflix is now angling to repeat the process in Austria, Poland, and the Czech Republic. While this author can’t speak to Poland and the Czech Republic, having lived in Vienna for the better part of a decade, if you thought German builders might be resistant to change, can we talk about the Austrians? Do we need to? Traditional might has well be dovetailed right into the middle of the word, right next Sissi, and just after Sacher.
Having said that, the numbers don’t lie, and clearly, Schüttflix is on to something. And Draper Esprit, HV Capital, Speedinvest, and Strabag are throwing down $50 million with the thinking that that something is something really big.
On that Austro-themed anecdote, interesting note that HV hails from Schüttflix’s home turf, while both Speedinvest and Strabag call Vienna home. Also of note, Stragbag is the dominant player in any and all things construction, including the main contractor for Austria’s never-ending motorway resurfacing project(s). It’s the dominant market position, and associated support, that’s also prompting Schüttflix to ramp up development of new digital products and services. I.e. if the biggest fish in the pond is behind you, it might be time for their customers to put the pens und das papier im korb.
“Following our successful expansion in the German market this year now is the strategically right moment for us to grow in Europe. Government investment programmes, such as the Green Deal and the post-coronavirus recovery fund, will ensure that orders in the construction industry remain strong over the long term,” commented Schüttflix CEO and co-founder Christian Hülsewig. “European construction sites need a reliable and efficient supply. With Schüttflix, we have the solution. And with Draper Esprit, we have an experienced investor on board who will help us to establish this solution in as many European countries as possible.”