Rick Cohen’s Symbotic Expands Deal to Automate Walmart’s Warehouses To All 42 Regional Distribution Centers

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Rick Cohen’s Symbotic Expands Deal to Automate Walmart’s Warehouses To All 42 Regional Distribution Centers
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While Rick Cohen built Symbotic largely in stealth, the company, which posted $252 million in revenue for fiscal 2021, is now in the process of going public in a $5.5 billion deal with a SPAC.

estimates Cohen and his wife Jan’s wealth at $6 billion, the majority of it coming from Symbotic rather than C&S.

The expanded Walmart deal comes as warehouse logistics have been in the spotlight, as consumers demand ever faster shipments of e-commerce orders and stores, too, need speed and reliability to stock their shelves. Symbotic’s ability to build palletized loads of sorted inventory can help Walmart get products to its more than 4,700 stores quickly. Joe Metzger, executive vice president of supply chain operations at Walmart U.S.

Walmart will retrofit all 42 of its regional distribution centers with Symbotic’s robotics over the next eight-plus years. In addition to Walmart, Symbotic’s customers include Albertsons and Target, as well as Cohen’s own C&S. Its revenue increased to $173 million for the six months ended March 26, up sixfold from the $29 million it reported in the same period the previous year. The company posted a $53 million net loss in that period and a $122 million net loss for the 2021 year, according toSymbotic’s backlog of committed sales is now more than $11 billion.

Symbotic is expected to begin trading on Nasdaq under the ticker SYM. The SPAC, known as SVF Investment Corp. 3, is slated to hold a virtual special meeting on the deal on June 3. While the market has turned down, Cohen is thinking long-term. “The market is what the market is,” he said. “For me, it wasn’t a one-day stock deal. It’s where we are three, four-five years from now where the real value will be. We might as well get on with it.

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