The tech stack from Convoy, a now-defunct digital brokerage, has been sold to DAT, enhancing their value proposition in the freight market. Flexport, who acquired the tech stack from Convoy less than two years ago, is now selling it to DAT. The sale reportedly went for around $250 million.

Flexport’s CEO, Ryan Petersen, noted that the return on the sale of the Convoy tech puts Flexport in a strong financial position. The sale price of the tech was undisclosed, but it was reportedly around $250 million. Petersen mentioned that the Convoy platform will still be used by Flexport, despite being owned by DAT.

The purchase of the Convoy tech stack by DAT is seen as transformative, broadening their offerings in the freight sector significantly. DAT will now have capabilities beyond its traditional load board, with the Convoy platform being a key tool for broker and carrier connections.

The Convoy platform’s automation and fraud prevention tools are expected to make DAT the safest platform in the industry. Users will have no upfront fees to access the Convoy platform through DAT, with fees being transactional. DAT aims to integrate accounts efficiently despite high demand for onboarding.

DAT, a unit of Roper Technologies, has shown solid financial performance, with strong improvements in average revenue per unit. The integration of Trucker Tools into the system has been a significant achievement for DAT. The purchase of the Convoy tech stack is expected to further enhance DAT’s offerings in the freight market.

Read more at Yahoo Finance: Less than 2 years after Flexport bought Convoy’s tech stack, it’s being sold to DAT