London – September 19, 2026 -- Magentic, a London and New York-based provider of AI digital workers for industrial operations, has closed an $18 million Series A round led by Felicis, with participation from existing backers Sequoia Capital and The Westly Group. The raise comes one year after the company's July 2025 launch and will fund expansion of its AI agent workforce for procurement and supply chain teams at large manufacturers.
Procurement teams face a 10% workload surge against 1% budget growth
Magentic's funding lands as industrial and procurement teams contend with converging pressure from manufacturing demand, tariffs, and constrained budgets. Goldman Sachs projects roughly $8 trillion in AI-related capital spending between 2026 and 2031, much of which will flow into physical infrastructure requiring sourcing and construction. Against that backdrop, procurement workloads have grown approximately 10% year over year while budgets have risen only about 1%.
One customer now processes over one million orders annually through Magentic's agents
Magentic's multi-agent systems operate as virtual employees inside client companies, working through Microsoft Teams, email, and internal systems to manage tasks end to end -- including buy-or-build decisions, supplier selection, contract negotiation, order execution, and invoice clearing. The platform covers both indirect and direct spend, including raw materials procurement. One customer now runs more than a million orders per year through Magentic's agents, while another has identified $4 million in savings.
Magentic delivers 2-5% cost savings across a Global 500 client base
Across a customer base that includes three of the world's ten largest beverage companies, Magentic reports typical savings of 2-5%, a 60% improvement in data quality, and reductions of tens of thousands of hours in manual work. The company positions this as freeing procurement staff to focus on supplier partnerships, product innovation, and strategic planning rather than transactional tasks.
Magentic builds security controls including zero-data-retention agreements with AI providers
To address enterprise concerns about AI agents operating inside critical systems, Magentic has implemented zero-data-retention agreements with major AI providers, cloud-agnostic deployment options, and isolated deployments available across data regions.
Robin Van Aeken, CEO and co-founder of Magentic, said the current capital expenditure cycle in physical infrastructure, driven by AI demand, is occurring alongside trade disruption and geopolitical uncertainty, and that companies embedding intelligence into operational decisions will build lasting competitive advantage. The new funding will extend Magentic's coverage across procurement and supply chain workflows and deepen research into AI systems capable of handling complex, multimodal optimization problems, according to CTO and co-founder Odhran O'Donoghue.