IKEA’s investment arm, Ingka Investments, has acquired U.S.-based logistics technology provider Locus in a deal aimed at streamlining last-mile delivery and accelerating the retailer’s online growth.
The acquisition aligns with Ingka Group’s $2.2 billion expansion strategy in the U.S. market, where it competes with Wayfair (NYSE: W) and Walmart (NYSE: WMT) and navigates increased import tariffs. Locus was previously valued at $300 million in its 2021 funding round, Reuters reported. The deal is expected to reduce IKEA’s global delivery costs by approximately €100 million (approximately $117 million) annually.
Locus develops artificial intelligence software that automates delivery route planning and optimizes order grouping. Its technology replaces manual planning systems currently used by IKEA and enables more flexible delivery windows, real-time tracking, and improved delivery speeds. IKEA plans to pilot the platform in the U.S. and the U.K. before deploying it across its global network.