Accel-KKR invests in LeanDNA to boost global AI supply chains
Accel-KKR has announced a strategic growth investment in LeanDNA to support advancements in manufacturing supply chain software and further the company's expansion globally.
This investment aims to accelerate LeanDNA's development of its APEX platform, which integrates artificial intelligence to enhance supply planning and inventory optimisation for manufacturers operating with high levels of complexity and global supply chain challenges.
AKKR's involvement
Accel-KKR, a private equity investor focused on technology and software businesses, indicated its continued commitment to the supply chain sector. Its portfolio includes investments in several supply chain software firms, reflecting the firm's sector focus and experience.
According to Joe Porten, Managing Director at Accel-KKR, the new partnership with LeanDNA targets crucial issues facing discrete manufacturing. He said:
"LeanDNA is redefining supply chain execution by tackling the critical shortage-excess inventory challenge for discrete manufacturers, an area long underserved in the technology ecosystem. By optimizing inventory, reducing waste, and unlocking growth opportunities, LeanDNA delivers rapid time-to-value for global enterprises, setting a new standard for operational excellence."
LeanDNA's platform
The announcement follows two significant developments for LeanDNA: its annual Manufacturing Excellence Summit and the recent release of its next generation APEX platform. The APEX suite uses artificial intelligence to augment enterprise resource planning (ERP) systems, facilitating real-time insights, supplier coordination, and optimisation for inventory and production processes. The platform is designed to provide manufacturers with better visibility into potential shortages, excess stock and production timelines, helping businesses address supply chain disruptions more proactively.
Andy Ellenthal, Chief Executive Officer of LeanDNA, commented on the new partnership with Accel-KKR, stating:
"This partnership with Accel-KKR is a tremendous validation of what this team has already accomplished and what we expect to achieve in the future. AKKR's deep domain expertise in software investing and supply chain makes them the ideal partner as we continue to scale our solution for global manufacturers seeking resilience and efficiency."
The APEX platform supports supply chain management through advanced analytics, supply collaboration and actionable insights tailored for the discrete manufacturing sector. LeanDNA continues in its approach to enable manufacturers to optimise on-time delivery and working capital by offering real-time data and recommendations on inventory and material flow.
Investor context
The investment from Accel-KKR adds to LeanDNA's previous funding rounds. Existing shareholders S3 Ventures and Next Coast Ventures will maintain stakes and continue as active board members. S3 Ventures and Next Coast Ventures have been instrumental in earlier stages of LeanDNA's growth and product development.
Accel-KKR is headquartered in Menlo Park and manages more than $23 billion in cumulative capital commitments. The firm undertakes a range of investments in software and technology, providing both buyout and minority growth capital, as well as credit options.
LeanDNA, headquartered in Austin, operates worldwide, and with the new investment, intends to further strengthen its market reach beyond its current footprint.
Market backdrop
As manufacturers continue to address ongoing global supply chain volatility, solutions that offer AI-powered optimisation and enhanced visibility into the supply and inventory process are seeing increased interest across the sector. LeanDNA's position within this context is marked by their continued investment in AI technology and expansion efforts.
The new investment follows LeanDNA's recent organisational milestones, including the launch of the APEX platform and a fourth consecutive appearance on a prominent list of fastest-growing companies.
