Canada-based artificial intelligence software provider Element AI has secured C$200m ($151m) in series B funding from investors including consulting firm McKinsey & Company and Hanwha Asset Management, part of diversified conglomerate Hanwha.
The round included Caisse de dépôt et placement du Québec, Gouvernement du Québec, DCVC, Business Development Bank of Canada unit BDC Capital, Real Ventures and undisclosed others. It valued the company at between $600m and $700m, according to TechCrunch.
Element AI has created software that helps large financial services and supply chain-focused businesses utilise artificial intelligence to analyse data from across their organisation to improve problem solving and help employees make better decisions more quickly.
McKinsey invested after analytics and artificial intelligence subsidiary QuantumBlack opened an office in Element AI’s home city of Montreal in December 2018.
Patrick Lahaie, senior partner at McKinsey & Company, said: “We look forward to collaborating closely with the talented team at Element AI in Canada and globally in our shared objective to turn cutting edge thinking and technology into AI assets which will transform a wide range of industries and sectors.
“This investment fits into McKinsey’s long-term AI strategy, including the 2015 acquisition of QuantumBlack, which has grown substantially since then and will spearhead the collaboration with Element AI on behalf of our firm.”
Element AI said it has now raised approximately $257m altogether. Another Hanwha subsidiary, Hanwha Investments, took part in its $102m series A round in mid-2017.
Internet group Tencent also participated in the 2017 round, as did Intel Capital, Microsoft Ventures and Nvidia GPU Ventures, which invest on behalf of semiconductor producer Intel, software provider Microsoft and graphics processing unit manufacturer Nvidia respectively.
The round was led by DCVC and also featured financial services firm National Bank of Canada, Business Development Bank of Canada, Real Ventures, Fidelity Investments Canada and unnamed sovereign wealth funds.
