Freight Technologies cuts workforce, scales back brokerage in AI-focused reorganization
FRGT•Financing and debt changes support the transition
Freight Technologies also said it raised $1.2 million through the sale of 1,200,000 Series C preferred shares, with net proceeds of about $1.15 million to be used for restructuring and working capital.
In addition, the company consolidated its debt structure under a $2.5 million loan at 10% interest, maturing June 17, 2027. A prior credit facility was repaid and terminated.
Corporate reorganization shifts focus to software and AI logistics
Freight Technologies said it completed a corporate reorganization to pivot from online freight brokerage to a software and AI logistics model.
The restructuring includes additional workforce cuts concentrated in brokerage, scaled-back brokerage operations, and a transition of certain Fr8Fleet dedicated capacity operations in Q2 2026.
The company said the restructuring is expected to be substantially completed by the end of Q3 2026, and severance and related costs are estimated at $0.4 million.
