CADDi, a startup operating a B2B marketplace for the manufacturing industry, has raised $89 million in a Series C funding round. The funding will be used to scale its business and help equipment manufacturing players navigate the ongoing supply chain issues. The round was participated in by existing investors Globis Capital Partners, DCM Ventures, Global Brain, World Innovation Lab, JAFCO, and Minerva Growth Partners, along with new investors including SMBC Venture Capital and Mitsubishi UFJ Capital.
A Solution for the Manufacturing Industry
Founded in 2017 by Yushiro Kato, a former consultant at McKinsey & Company, and Aki Kobashi, who previously worked as an engineer at Lockheed Martin and Apple, CADDi offers two major solutions: CADDi Manufacturing, a parts procurement platform, and CADDi Drawer, an AI-powered cloud service for managing drawing data.
CADDi Manufacturing aims to eliminate some procurement work and aggregates orders to help find similar materials, processes, and suitable delivery schedules. This enables customers to access optimal prices with a 99.83% on-time delivery rate and a 99.96% non-defective rate, reducing manufacturers’ procurement costs by nearly 20%.
CADDi Drawer provides access to all procurement data and details that impact quality, cost, and delivery (QCD). It allows users to save significant time and costs while improving QCD with more drawings created.
Aiming for Global Expansion
CADDi plans to use the proceeds to enhance its manufacturing and drawing platforms and expand its workforce in the U.S. The company aims to reach its goals of posting $10 billion in revenue from CADDi manufacturing and $1 billion in revenue from CADDi Drawer by 2030.
The startup recently opened an office in the U.S. and supplier operations in Mexico to cater to clients in the U.S. It also has offices in Vietnam and Thailand in Asia. Despite the challenges in the procurement industry in the U.S., CADDi believes it can expand into the U.S. by leveraging the knowledge and technology it has developed since its inception, primarily in Japan and across a variety of manufacturing industries.
As the manufacturing industry continues to grapple with supply chain issues, CADDi’s focus on providing efficient procurement solutions positions it as a key player in the industry’s transformation.