- Estonian-born Pactum raised a USD 54M Series C round, scaling AI-driven enterprise procurement for global companies
- Founded in 2019, Pactum’s AI agents deliver cost savings and stronger supplier relationships
- The platform integrates with enterprise systems, autonomously managing complex negotiations with fast deployment
- Future plans focus on expanding AI capabilities, verticals, and global market reach
This June, the famous Estonian-American agentic AI platform for enterprise procurement Pactum raised a substantial Series C round of USD 54M. The lead investor of the round is the established global software investor Insight Partners.
Founding Visionaries Behind Pactum Unlocking Strategic Value
Kaspar Korjus, Co-Founder and CEO at Pactum
The company was founded in 2019 by Kaspar (CEO) and Kristjan Korjus (Chief Scientist, ex-CTO) who brought together in-depth expertise in AI, entrepreneurship, and enterprise operations. Pactum quickly proved its value with a successful pilot project involving a Spanish taxi service, where its AI agents generated significant savings. This early success highlighted the technology’s potential and laid the foundation for broader adoption.
‘Our company’s innovation has been shaped by feedback from both procurement professionals and suppliers. Kristjan and I have learned that while initial expectations focused on cost savings and freeing up teams for more strategic work, the long-term benefits run much deeper. Greater supplier engagement enabled by AI has unlocked a wide range of opportunities, from faster responses to market changes to improved scalability, and even competitive differentiation,’ Pactum’s co-founder and CEO Kaspar Korjus recalls.
From Seed to Series B: Laying the Foundations and Expanding Capabilities
Beginning with its USD 3M seed round back in 2020, Pactum focused on building a Negotiation-as-a-Service platform to automate complex, repetitive vendor agreements. By 2021, the company secured an USD 11M Series A, enabling it to transition from pilot projects to full-scale enterprise deployments with clients like Walmart, Maersk, and Wesco.
Such giants recognizing the strategic value of agentic AI marked Pactum’s big breakthrough. These collaborations not only revealed substantial cost savings but also improved supplier relationships.
Further, the company raised a EUR 19M Series B in 2022, expanding its product suite to integrate with major procurement platforms like SAP Ariba and Coupa. It also launched the Pactum Academy to educate users on deploying AI agents in negotiations. By 2023, Pactum had broadened its use cases beyond procurement, developing bots for HR negotiations, including salary discussions—helping businesses tackle new challenges in ethics.
Record Breaking and Rapid Growth
2024 marked a record for Pactum as the company facilitated its largest deal to date, valued at USD 99.6M, while also executing its fastest end-to-end negotiation in just 87 seconds, fully managed by AI agents.
The past 12 months have marked another exceptional growth period. Pactum reports having expanded its customer base by over 30% by onboarding nine new clients in the manufacturing sector, along with six additional clients from other industries. This momentum has been supported by a 270% year-over-year rise in platform usage and a 13% increase in average monthly client spend.
The momentum continued into 2025 with Pactum raising its USD 54M Series C. At this point, the company had scaled its platform to manage negotiations for over 50 Global 2000 companies, helping them reduce negotiation cycles to seconds, closing deals worth over $140 million, and driving 2.5x ARR growth.
Overcoming Challenges in Agentic AI Adoption
Adam Chapman-Ballard, Global Director of Marketing at Pactum
‘The journey was not without its challenges. Pactum had to build trust in a completely new category of AI, convincing large organizations to hand over negotiation responsibilities to autonomous agents. It overcame technical hurdles around integrating with legacy procurement systems and ensuring outcomes remained fair and auditable. Most critically, it had to balance automation with human oversight, ensuring that AI-driven negotiations aligned with company values and ethical standards. Overall, we see our journey as not just an example of technological progress, but strategic success in winning trust and proving value in enterprise environments.,’ Pactum’s global director of marketing Adam Chapman-Ballard remarks.
Today, Pactum can boast about being trusted by more than 50 of the world’s largest enterprises. Its AI agents handle thousands of simultaneous negotiations, enabling organizations to increase operational efficiency and foster more productive supplier partnerships.
How Pactum’s AI Agents Work
Putting it briefly, Pactum continues to empower enterprise procurement teams with AI agents that autonomously identify opportunities and secure supplier deals at scale. By combining AI precision with human insight, organizations can transition from reactive procurement to proactive, value-driven partnerships.
‘Agentic AI, or AI agents, are software-based agents that act with autonomy and authority. They are goal-driven and capable of making decisions and performing complex tasks without human intervention – they reason about what’s needed to achieve a goal, plan a series of steps, execute those steps and learn and adapt from the outcomes.These steps are coordinated across modules: with NLP interpreting supplier language, analytics modelling trade-offs and decision-making logic selecting the most effective negotiation tactics,’ Mr Korjus explains.
To handle domain-specific language and negotiation context, Pactum’s AI agents utilize data sources from internal enterprise systems including existing contracts, invoices and demand forecasts. The AI adapts to domain-specific language and the complexity of the deal.
It can also plug into existing procurement processes — for example, taking the finalists from an RFP tender, taking a user’s request in a requisitioning system, taking a large-scale initiative like payment terms transformation across a supplier base — and go ahead with the negotiation. The negotiation will focus on tradeable terms that are pre-configured and can consist of multiple rounds until an agreement is reached.
The deployment is fast and seamless: clients can implement Pactum’s agents in under four weeks and typically see measurable returns within 57 days. As businesses face increasing complexity and pressure to optimize resources, Pactum’s AI agents extend the reach and impact of procurement teams, enabling smarter decisions, faster execution, and outcomes that surpass human capabilities.
‘Some of the most challenging aspects of applying agentic AI to procurement are the psychological and change management aspects. Some employees’ initial reactions can be fear of job security. The best implementations of agentic AI focus on the aspect of career growth by becoming a manager of agents. Management tools like leaderboards that track savings generated via agents help drive the positive embracement of change. Agent logs and negotiation logs are always available, with humans able to audit and insert themselves into processes,’ Mr Korjus adds.
According to Mr Chapman-Ballard, Pactum’s AI agents are proven to autonomously generate 2-10% savings on unmanaged and under-managed spend, which for global enterprise is significant.
‘While CPO’s are asked every year to do more with less, Pactum allows the execution of the procurement operating model at scale, with efficiency and agility,’ he states.
Strategic Backing
Josh Zelman, Managing Director at Insight Partners
Insight Partners is a recognized global investor in high-growth technology and software companies, partnering with visionary executives to drive transformative change. With over USD 90B in assets under management, Insight has backed 800+ companies worldwide, supporting them with hands-on expertise from initial investment through growth and IPO. Following Pactum’s Series C, Insight Partners’ managing director Josh Zelman joins the company’s board of directors.
‘Pactum has demonstrated substantial growth, with its differentiated position in the market and impressive capabilities to automate end-to-end procurement processes through AI agents. The company is committed to driving greater value for its customers and helping them execute autonomous savings at scale. We look forward to partnering with the team on Pactum’s ongoing growth and solution evolution,’ the investor comments.
Future Growth and Innovation
With the new investment, Pactum sets out to scale its market reach and grow its portfolio of AI agents with new innovations to benefit organizations looking to transform procurement operations into a competitive advantage.
‘Pactum is using its investment to expand the scope of its agents in multiple directions. These directions include breadth by analyzing internal and external market data sources to find and prepare negotiation arguments, depth through additional commodity category capability, launching into the more complex direct materials spend space, and through focusing on additional verticals and global regions,’ Mr Korjus tells ITKeyMedia.
Transforming enterprise procurement by using agentic AI, Pactum drives efficiency, savings, and stronger supplier partnerships. Insight Partners’ backing empowers the company to scale its platform and expand AI capabilities across industries and regions. This growth positions Pactum to redefine how organizations approach negotiations and unlock value at scale.
Kostiantyn is a freelance writer from Crimea but based in Lviv. He loves writing about IT and high tech because those topics are always upbeat and he’s an inherent optimist!
