UK’s fleet optimisation firm Dynamon raises €4.6M; announces commercial deal with BP

Southampton-based Dynamon, a software company that specialises in advanced data analytics and simulation tools for transport and logistics firms, announced on Thursday, that it has secured £4M (approximately €4.63M) in a Series A round of funding.

The investment came from BP Ventures, a VC firm that backs private and high-growth tech companies.

With this funding, the UK-based company aims to support platform commercialisation, scale-up, and expansion efforts in both Europe and North America.

Commercial agreement with BP

BP and Dynamon have also entered into a commercial agreement to collaborate on optimising lower-emission solutions for fleets. 

Dynamon will work with BP to assist transport and logistics companies in adopting low-carbon energy solutions, including electric vehicle (EV) charging infrastructure, as they transition towards electrifying their fleets.

The partnership aims to develop a premium offer for customers seeking eco-friendly transportation options.

Gareth Burns, VP of BP Ventures, says, “Faster adoption of lower carbon energy and mobility solutions will help drive bp towards meeting its ambition to become a net zero company by 2050 or sooner and helping the world get to net zero.”

“We’re very excited to be investing in Dynamon, an EV fleet software business deploying software as a service and data science to help the commercial transport industry transition to lower carbon energy fleets,” adds Burns.

Data-driven software solutions for fleet operators

Dynamon mentions in a statement that the growing variety of electric vehicles (EVs) and charging infrastructure options has made researching and testing each possibility time-consuming and expensive. 

However, Dynamon’s software and analysis tools, which are used in multiple countries, offer a solution to this problem.

By deploying Dynamon’s tools, businesses can effectively understand and identify cost-effective actions to decarbonise their fleets, leading to improved research and trial efficiency in adopting eco-friendly transportation solutions.

Dynamon’s flagship software, ZERO, tackles the challenges related to energy and capital investment costs by developing solutions that can potentially save energy and optimise capital investments.

It does that by conducting comprehensive analyses that consider various factors, such as vehicle planning, charging infrastructure, energy expenses, and operations analysis.

This approach helps businesses identify the most suitable and cost-effective options for adopting low-carbon solutions and improving their overall fleet sustainability.

About the ZERO software

Dynamon’s ZERO software in a 4,000-vehicle trial identified a potential £22M annual energy cost savings (£0.28/mile diesel vs £0.125/mile electric), and an 8,700-tonne CO2 reduction (609.86 g CO2e/litre diesel) by switching to electric vehicles.

Angus Webb, CEO of Dynamon, says, “It is our mission to bring the most advanced fleet optimisation tools to the transport industry. This is becoming increasingly critical with the transition to EVs requiring both fleets and suppliers to perform complex analysis to ensure that solutions will be robust and cost-effective.”

“Alongside the investment, Dynamon and BP have signed a commercial agreement to utilise ZERO or similar tools. Working together will help BP pulse to diversify its fleet proposition and further develop its premium customer offer, providing customers with support as they increasingly look to adopt EV solutions,” adds Webb.

Dynamon’s tools optimise existing EV fleets by addressing cost management, improving operational reliability, and analysing battery degradation for better decision-making.

BP to invest in EV charging

BP is prioritising its five transition growth engines, including EV charging, while also investing in the existing energy system. The company’s goal is to evolve into an integrated energy company that addresses both present and future energy needs.

Stefan von Dobschüetz, GM for BP pulse Europe, says, “As fleets electrify, the commercial transport and logistics industry faces challenges balancing cost management, operational reliability, while understanding new vehicle technology.”

“Dynamon’s simulation and data analytics tools offer those companies unique fleet-specific insights to help identify the optimum EVs and charging infrastructure to replace existing combustion engine vehicles.”

“This agreement between BP and Dynamon makes the tools available to our bp pulse customers and provides a range of options and solutions to effectively manage and enhance their EV fleet,” adds von Dobschüetz.

BP Ventures is a corporate venture capital arm of BP. The investment arm has already invested over $1B in tech companies and is actively managing 40 investments.