AMDP Investment Proposal
To: Clark C. Hansen
From: Baltej Miglani, Analyst (Anima Mundi Development Corp.)
Date: March 5, 2024
Subject: The Future of Mobility (and why you should make money off it)
I wanted to congratulate you on your successful investment in Tesla . It is due to visionaries like you that we can see cutting edge technologies like these grow. Your investments are helping shape the future of our world.
Building upon this theme of world changing investments, I wanted to bring to your notice yet another business that is at the forefront of electric mobility. Zipline is a cutting edge drone delivery startup that has successfully created and implemented drone delivery networks around the US and the World. Starting out by providing emergency healthcare supplies in Rwanda, the company has since expanded to most of West Africa, beating out the likes of DHL to create the first, fully autonomous, emergency drone delivery network. Using their decade-long experience, they are now entering the commercial delivery space here in the US, with initial markets in Utah and Arkansas, beating out delivery giant Amazon. With efficiency and sustainability at the forefront of this mission,
AMDP Proposal Criteria:
Triple Bottom Line
The Triple Bottom Line (TBL) emphasizes that businesses should focus on three key performance areas: economic viability (profit), social responsibility (people), and environmental sustainability (planet), moving beyond the traditional metric of financial success alone. (Harvard Business School)
Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) is a business model in which companies incorporate social and environmental concerns into their operations and interactions with stakeholders, going beyond mere profit-making to address ethical, social, and environmental impacts of their activities. (IBM)
Social Enterprise
A Social Enterprise is an organization that operates in the marketplace with the primary goal of addressing social and/or environmental issues, balancing both profit and purpose. These enterprises reinvest their earnings into their mission, aiming to improve human and environmental well-being.(Defourny & Nyssens, 2010)
Carbon Footprint
The Carbon Footprint measures the total greenhouse gas emissions caused directly or indirectly by an individual, organization, event, or product, expressed as CO2e (carbon dioxide equivalent). It's crucial to measure and reduce carbon footprints to mitigate climate change impacts. Reducing carbon footprints can involve energy efficiency, using renewable energy, and changing consumption habits.(Wiedmann & Minx, 2008)
How is it measured? It's calculated by assessing the emissions of CO2e from various activities, including energy use, transportation, and consumption of goods and services.
Why is it important to reduce it? Lowering carbon footprints is vital for slowing climate change, reducing environmental damage, and promoting sustainability for future generations (IPCC)
Company Mission and Finances
Zipline, established in 2014, has emerged as a significant player in the drone delivery industry, particularly known for its impactful work in delivering medical supplies across Africa before expanding its operations globally. The company's innovative approach includes designing and manufacturing its drones and the logistics software, highlighting its dedication to providing an instant logistics service. Zipline's drones have completed over 800,000 commercial deliveries across multiple countries, showcasing a robust and scalable model
Zipline has recently raised $330 million, elevating its valuation to $4.2 billion, marking a significant milestone in its financial journey and a 55% jump from 2 years prior. This funding, as part of their Series F round, boosts Zipline's total funding to approximately $821 million. Such financial achievements highlight Zipline's global dominance in medical deliveries and its position as a major player in the drone delivery industry, surpassing many U.S. companies in valuation. Zipline's innovative approach, including the introduction of the next-generation delivery system, P2, contributes to its high valuation and the attraction of investment from both new and existing investors (Flying Magazine)
Industry Appraisals
Listed No. 25 on CNBC’s 2023 Disruptor 2023 list, and operational in seven countries, Zipline is on the verge of making one million autonomous deliveries by year-end. Initially focusing on critical medical supplies in Rwanda, Zipline has significantly expanded its services and technology, now delivering a wide range of products including food and retail items. The company's latest drone, Platform 2 or P2 Zip, showcases remarkable advancements in payload capacity and delivery speed, solidifying Zipline's position in the market and illustrating its potential for further growth and impact across various industries. (CNBC)
The P2 platform is a big part of the company’s future visions. This new system enables faster, quieter 10-mile deliveries in just 10 minutes and introduces a novel tether system for precise, home delivery drop-offs. P2 also brings an innovative docking and charging setup for retailers, allowing for seamless integration into business operations. With about 10,000 test flights planned for this year using 100 aircraft, Zipline aims to revolutionize logistics with efficient, environmentally friendly delivery solutions, emphasizing its potential to significantly increase delivery volumes and improve access to goods and services. (Jack Daleo)
Concluding remarks
Zipline has broken the mold of what it means to be an industry disruptor. Through their choice to gain operational experience by building clientele overseas, Zipline has proved that great ideas needn’t simply take hold in the West. Through this wealth of experience they have achieved a significant first mover advantage, and now with their return to the consumer space in the US, they have raised the bar for the autonomous delivery industry as a whole. Through a combination of technological innovation and operational efficiency, they have made themselves market leaders. I could not think of a better company to have in one’s portfolio. I would highly recommend getting on this quick before their IPO, because those shares are going to sell like hot cakes
Works Cited
“The Triple Bottom Line: What It Is & Why It’s Important.” Business Insights Blog, 8 Dec. 2020, online.hbs.edu/blog/post/what-is-the-triple-bottom-line.
“What Is Corporate Social Responsibility (CSR)?” IBM, www.ibm.com/topics/corporate-social-responsibility. Accessed 9 Mar. 2024.
Defourny, Jacques, and Marthe Nyssens. “Social Enterprise in Europe: Recent Trends and Developments.” Social Enterprise Journal, Emerald Group Publishing Limited, 26 Sept. 2008, www.emerald.com/insight/content/doi/10.1108/17508610810922703/full/html.
“Ar5 Climate Change 2014: Mitigation of Climate Change.” IPCC, www.ipcc.ch/report/ar5/wg3/.
Daleo, Jack. “Drone Delivery Firm Zipline Raises $330 Million at $4.2 Billion Valuation.” FLYING Magazine, 1 May 2023, www.flyingmag.com/drone-delivery-firm-zipline-raises-330-million-at-4-2-billion-valuation/.
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