Global Logistics Conglomerate - Corporate Venture Capital Program
Challenge
A global logistics and supply chain leader with significant Middle East operations aimed to establish a Corporate Venture Capital (CVC) program focused on:
• Digital logistics technologies, using IoT, automation, and AI.
• Supply chain innovation with visibility, optimization, and sustainability.
• Port and trade facilitation technologies.
• Last-mile delivery solutions.
Key constraints:
• Lack of internal venture investment experience and no dedicated team.
• Required integration of portfolio companies with business units across more than 50 countries.
• Governance complexity in balancing financial returns with strategic value for diverse stakeholders.
TURN8’s Approach
Mandate and Infrastructure Design
• Developed an investment mandate aligned with the corporation’s digital transformation strategy.
• Established a governance framework with defined decision rights, including investment committee composition, approval thresholds, and reporting lines.
• Developed an investment thesis focused on port technology, supply chain digitization, and logistics automation.
• Established the legal structure, banking relationships, and compliance framework.
Deal Flow and Investments
• Implemented systematic deal sourcing across the global logistics technology startup ecosystem.
• Conducted rapid due diligence on over 1,000 opportunities using structured frameworks.
• Presented high-quality opportunities to the investment committee.
Portfolio Management and Integration:
• Implemented portfolio monitoring dashboards to track key metrics.
• Facilitated multiple pilot programs between portfolio companies and business units.
• Created structured strategic partnerships through commercial agreements.
• Delivered quarterly board reports tracking strategic value.
Outcomes
• Completed 40 strategic investments.
• Formed 10 commercial partnerships with business units.
• Portfolio companies were introduced to more than 20 potential customers across the conglomerate’s network.
• Several ventures reached valuations exceeding $1 billion.
• Achieved multiple successful exits.
Strategic Impact:
• Gained early visibility into logistics innovation trends.
• Enhanced reputation for innovation, attracting higher-quality deal flow.
• Established a proven integration model that enabled scalable portfolio growth.
Key Learnings:
• Speed is critical; completing the first investments within six months established credibility and momentum.
• Systematic deal sourcing generated three times as many relevant opportunities as a network-only approach.
• Clear governance accelerated decision-making, reducing the average investment committee approval timeline to three weeks, compared to 8 to 12 weeks at peer CVCs.