Swedish TrusTrace raises $24 million to expand global footprint in sustainable supply chain solutions

Stockholm-based SaaS startup TrusTrace has successfully raised a growth investment of $24 million, led by Circularity Capital and joined by existing investors Industrifonden and Fairpoint Capital. TrusTrace’s platform enables brands to digitize and standardize supply chain data, supporting risk management, compliance, and sustainability efforts. With this funding, TrusTrace plans to enhance its global expansion by fortifying its presence in key markets, advancing product innovation, and fostering collaborations. The company aims to play a pivotal role in creating a global network where value chains are transparent, circular, and equitable, further solidifying its position as a trusted partner for businesses striving to manage supply chain risks and promote sustainability.

TrusTrace, founded in 2016, is a global SaaS company specializing in supply chain traceability and compliance. Led by CEO Shameek Ghosh, the company’s platform standardizes the capture and digitization of supply chain and material traceability data, supporting brands and suppliers in managing risk, ensuring compliance, and advancing sustainability goals. With a recent $24 million growth investment led by Circularity Capital, TrusTrace aims to accelerate its global expansion by strengthening market presence, fostering innovation, and enhancing collaborations. Notable clients include adidas, Brooks Running, Tapestry, and Asics, and the company envisions creating a global network where all value chains are traceable, circular, and fair.

According to Shameek Ghosh, CEO and Co-Founder of TrusTrace, the new investment will enable the company to further accelerate its global expansion ambitions by strengthening its presence in key markets, deepening product innovation and expanding collaborations – helping to create a global network where all value chains are traceable, circular, and fair.

“A growing number of fashion and textile brands are adopting supply chain traceability to support their sustainability goals and ensure competitiveness in the face of mounting regulatory and consumer pressure. The completion of this growth investment is further evidence that businesses see traceability as critical to achieving their sustainability goals. Backed by new funding, TrusTrace will further cement its position as the fashion industry’s trusted partner for identifying and managing supply chain risk, ensuring compliance and driving sustainability across value chains.”

Traceability has accelerated in importance and momentum as a key enabler of sustainable transformation, as evidenced by TrusTrace’s five-fold growth in subscription revenue in the 27 months since the previous growth round by Fairpoint Capital and Industrifonden in 2021, preceded by seed funding from Backing Minds in 2019.

The company is widely considered the preferred supply chain partner for global fashion brands seeking to drive sustainable change, manage ESG risks and ensure compliance across their highly complex supply chains. Notable TrusTrace customers include adidas, Brooks Running, Tapestry, Asics and many more of the world’s largest apparel, footwear and luxury brands. TrusTrace also plans to offer its services to regional and mid-size brands in 2024.

Ghosh added: “We are delighted to be partnering with Circularity Capital for the next phase of our growth, the combination of their specialist expertise in the circular economy and powerful international network makes them a strong value-added investor for us.”


Anders Brejner, Investment Director at Circularity Capital, commented: “We see a growing number of global fashion brands looking to transition away from today’s linear ‘take-make-dispose’ model of production and consumption to one that is more sustainable and equitable. We believe this is only possible at scale with the right digital backbone to provide transparency and traceability across complex global supply chains. TrusTrace is a clear leader in this field, with an excellent team, solution and blue-chip client base – and a great fit with our strategy to back global leaders enabling the circular economy. We are excited to be supporting TrusTrace as it continues to expand worldwide.”

With more than a billion products now tracked through the platform, TrusTrace has established itself as a business-critical solution for supply chain traceability. The platform empowers brands with verified data in real-time, as materials and finished goods move through the supply chain. It also integrates seamlessly with retailer, manufacturer and supplier systems, as well as other third-parties, such as certification agencies, lifecycle datasets and other sustainability solution providers.

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Originally published on ArcticStartup : Original article

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