Magentic, the AI Agent Platform that hunts and delivers savings across global manufacturing supply chains, today announced a £4m funding round led by Sequoia Capital.
The fundraise, with participation from The Westly Group, First Momentum Ventures, and angel investors from SAP, Airbus, McKinsey & Company, Hugging Face, Ironclad, and Rosberg Ventures, will accelerate the team's growth.
According to McKinsey & Company, 90% of Chief Procurement Officers (CPOs) identify supplier compliance value "leaks" as critical business issues, with an average waste of 2% of total spend; ~$40M on a $2B spend base. One Magentic partner found previously undetected, P&L-impacting errors in 1 in 4 of its procurement documents.
Magentic deploys off-the-shelf, procurement and supply chain domain-specific AI teammates into operations. These AI agents are designed to hunt down, prioritise, and deliver hard savings, even in messy, unstructured environments where master data is incomplete or inconsistent. An example is a $30bn manufacturer that saved 4% on its machinery spare parts procurement and is now rolling out Magentic's AI teammates to additional spend categories.
Magentic was founded by Robin Van Aeken who led teams at McKinsey & Company for global manufacturers and Odhran O’Donoghue who holds a PhD in Machine Learning from the University of Oxford and led advanced AI projects at OpenAI, NASA, and the Crick Institute. Magentic combines a world-class AI engineering team with procurement expertise.
Magentic’s customers span consumer packaged goods, pharmaceutical, and advanced manufacturing sectors across the US and Europe. Magentic is deploying new AI teammates to prepare and defend against supplier tariff claims, find more opportunities for savings, and operate “end-to-end”, always with humans-in-the-loop.
Magentic aims to help its customers achieve automated operations, with human strategic thinking and relationships at the centre.
