Growth capital investors Armira Growth and Bayern Kapital are jointly investing up to €13 million in emerging AI software provider PartSpace. The PartSpace AI solution analyzes technical drawing data, revealing potential savings in industrial procurement. The financing is one of the largest in Lower Bavaria; the founders retain a majority stake in the company. The goal is to roll out the technology internationally and accelerate growth.

In industrial procurement, hundreds of thousands of technical components have to be developed, calculated, and procured every year – usually across complex supply networks and with growing cost pressure. This is exactly where PartSpace comes in: the software brings artificial intelligence to an area that has hardly been digitized until now. It analyzes millions of purchasing and design data via an interface to existing IT systems, makes market prices transparent, and suggests concrete measures, such as price negotiations, alternative suppliers, or the standardization of components. This results in noticeable savings and significantly greater transparency for customers within a very short time.

Today, demanding companies ranging from upper mid-sized businesses to global corporations are already relying on PartSpace – including Siemens Mobility, Krones, and Horsch. Two international corporations are currently in the process of rolling out the software worldwide across numerous plants.

“PartSpace is a smart solution that contributes to transparency and optimization of purchasing processes,” says Berthold Weiss, Head of Cost and Value Engineering at Siemens Mobility. Just a few weeks after the project started, our company was able to identify significant savings potential in the procurement of drawing-based components."

To further scale its AI technology and expand the company's growth, PartSpace is now working with Armira Growth and Bayern Kapital. “Our software creates transparency in an area that is critical to industrial companies and has hardly been digitized to date,” says Robert Hilmer, CEO and one of the founders of PartSpace. “With the support of our new investors, we want to further develop our AI and enable our customers to make better purchasing decisions—quickly, based on data, and with significant savings.” 

“The PartSpace team has impressed us greatly with its entrepreneurial approach and deep expertise in AI and the manufacturing industry,” says Christian Figge, Managing Partner at Armira Growth. “The solution is an outstanding AI use case in one of our most important industries in Germany and creates measurable customer value within a very short time. We are delighted to support the team as it continues to grow.”

About Armira Growth

Armira Growth invests in fast-growing companies in Europe that are driving technological change and revolutionizing traditional value chains with innovative solutions. Building on Armira's entrepreneurial values and unique capital base provided by leading German and international entrepreneurs and entrepreneurial families, Armira Growth supports founders and entrepreneurs in building market leaders in the technology industry through growth investments of €10-100 million as a long-term and trusted partner. For more information, visit www.armira.de.

About Bayern Kapital 

Bayern Kapital is the venture capital company of the Free State of Bavaria. With €700 million under management, investments of up to €25 million per company, over 110 active portfolio companies, and 30 years of experience in the VC business, it is one of the most active, financially strongest, and most experienced investors in the DACH region. Bayern Kapital invests in consortium with private investors in Bavarian high-tech and deep-tech start-ups and scale-ups with innovative business models from all industries, from the seed phase to the scale-up phase to exit. Since its foundation in 1995, Bayern Kapital has invested over €500 million of its own equity capital in more than 320 startups and scaleups in sectors such as life sciences, software & IT, materials & new materials, nanotechnology, and environmental technology. This has created over 10,000 permanent jobs in sustainable companies in Bavaria. For more information, visit www.bayernkapital.de.