News / Forto 'sharpens commercial priorities' as it lays off one-third of staff

© Filmfoto

So-called ‘digital’ forwarder Forto has reportedly laid off some 200 employees, or about one-third of its workforce. 

Speculation on an imminent sale of the forwarder has been doing the rounds for some time, after it appointed Moelis investment bank as an adviser. 

German title DVZ noted today that “a large portion of the layoffs are sales employees. Market participants view the wave of layoffs as a sign that Forto is withdrawing from the operational freight forwarding business and could be sold”. 

Forto told The Loadstar it would not comment on “individual personnel decisions, or market speculations”.  

But it said: “Forto is focused on sharpening its commercial priorities, driving operational and service excellence through AI, and instilling a high-performance, entrepreneurial culture. We have been executing the necessary structural changes to support these goals in the leanest way possible.” 

In February, it announced that CEO and founder Michal Wax was becoming chair, and CFO Guillaume Petit-Perrin would become CEO. According to the company, he has “been a core contributor to the company’s success. He played a key role in raising Forto’s Series C and Series D funding rounds, and in shaping the company’s strategic direction”. 

Mr Petit-Perrin said at the time: “As we enter the next phase, we will focus on operational excellence, commercial transformation, and reigniting the entrepreneurial spirit that has defined Forto since its early days. Together, we will accelerate Forto’s lead in digital freight forwarding.” 

The digital forwarding market is reaching maturity, according to Wolfgang Lehmacher, partner at Anchor Group and former director at the World Economic Forum, as investment dries up – but profitability is still on the horizon.