Prewave, an AI-powered sustainability, risk, and compliance platform, has raised €63 million in a Series B funding round to transform supply chain management.
The round is led by global investment firm Hedosophia, with participation from existing investors Creandum, Ventech, Kompas, Speedinvest, and Working Capital Fund. The new funds will be used to propel Prewave’s next phase of global expansion and to support additional product R&D on its proprietary AI technology, which will deliver the world’s only supply chain superintelligence platform.
Supply chain disruptions, ranging from natural disasters to labor issues, have long presented significant operational challenges to businesses. Furthermore, growing geopolitical instability, labor shortages, and inflationary pressures have significantly increased supply chain risk in recent years, with disruptions estimated to cost businesses 6-10% of their annual revenue.
Furthermore, businesses in Europe and around the world face a slew of new sustainability and supply chain regulations, each with complex reporting and compliance requirements and potentially crippling penalties for violations. These include the EU’s Deforestation Regulation (EUDR) and the Corporate Sustainability Due Diligence Directive (CS3D).
Prewave solves this problem by leveraging AI to deliver supply chain superintelligence, which can transform businesses’ supply chains into more transparent, compliant, and resilient systems.
Prewave can identify and assist businesses with 140 risk types on a global scale. This includes issues that affect resilience and cause disruption (natural disasters, financial stress, cyber risks, accidents, and legal issues), risks related to sustainability and ESG, and compliance with an increasing number of national and international regulations.
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Harald Nitschinger, Co-founder and MD of Prewave, stated:
“We founded Prewave because we believe that data and AI can play a significant role in making supply chains more transparent, resilient, and sustainable – and help to power the vital currents of global economic progress. We believe that in the face of rapidly accelerating regulatory complexity, businesses should not take a tick-box approach, but rather use regulatory compliance as a vehicle to become more resilient.”
Prewave has grown rapidly as a result of strong demand in Europe, achieving 3x annual revenue growth by 2023. Over 200 companies, including Lufthansa, Toyota, Ferrari, and Dr. Oetker, already rely on Prewave to stay compliant while improving the resilience and sustainability of their supply chains.
Sabina Wizander, Partner at Creandum, added:
“During the pandemic, we saw how vulnerable global supply chains can be. Full supply chain visibility is a top C-suite priority, especially given rising regulations, geopolitical instability, and climate change. Prewave has the best product to meet this business need, as evidenced by the traction it is receiving from customers. They have strong momentum, and this new investment will help to accelerate their growth.”
