Exclusive: Oro Labs, leveraging AI to simplify corporate procurement, secures $100 million

Oro Labs, a startup based in Silicon Valley that leverages artificial intelligence to automate companies’ procurement processes, has secured $100 million in fresh venture capital funding.

The fundraising, which is the company’s Series C round, is being spearheaded by Goldman Sachs Growth Equity and Brighton Park Capital. Existing investors such as Norwest Venture Partners, B Capital, XYZ Capital, and Felicis are also taking part. As part of the deal, Clare Greenan, a vice – president at Goldman Sachs Growth Equity, and Mike Gregoire, a partner at Brighton Park Capital, will join Oro’s board of directors.

Oro has chosen not to disclose its valuation after the new fundraising. The latest capital raise brings the total amount of money the startup has raised so far to $160 million.

The five – year – old startup has developed what it terms a “procurement orchestration platform”—a layer of AI – powered software that sits on top of a company’s existing enterprise resource planning and procurement systems. Instead of replacing those legacy investments, Oro functions as an intelligent front door, using AI agents to route requests, check compliance, and automate manual processes.

Oro’s customers include a number of Fortune 500 companies, such as Coca – Cola, Pfizer, Novartis, Thermo Fisher Scientific, and Booking.com, among others. The company claims to currently work with 15 of the top 25 life sciences companies, two of the top four diversified U.S. banks, and five of the top 15 food and drink manufacturers.

Oro’s fundraising comes after a year in which the five – year – old company reported achieving 300% revenue growth. The company says it anticipates tripling its revenue again this year and is currently experiencing a 150% “revenue retention rate,” which means existing customers are rapidly increasing their use of the platform.

“The demand for procurement orchestration has soared because of one fundamental fact: procurement teams simply can’t keep operating the way they have. The market volatility, disruptions, and price pressures are too intense,” Sudhir Bhojwani, co – founder and CEO of Oro Labs, stated. Companies, he said, “need a layer that brings order and intelligence to the chaos—and that layer is orchestration.”

Bhojwani, a software engineer who spent nine years at Ariba, a procurement software company acquired by SAP, told that the fundamental issue with existing procurement software is that it is “designed as systems of record, rather than systems of action.” What he means is that the software generates data in the form of purchase orders, contracts, and invoices, but isn’t designed, for example, to produce risk – based assessments of whether a particular invoice should be paid or presents a compliance issue.

He said procurement departments consistently receive the lowest net promoter scores in internal company surveys because they’re seen as overly bureaucratic blockers that slow down the business. And according to Bhojwani, most of that bureaucracy still involves manual processes. He said one Fortune 500 energy company, which he couldn’t name but said had roughly $40 billion in annual revenue, had a procurement process that involved 20 million human touchpoints per year before it started using Oro’s software.

“We built Oro to ensure enterprises can move faster without losing control,” Lalitha Rajagopalan, a co – founder of Oro Labs who currently leads strategy and operations for the company, told .

Bhojwani said that Oro’s software helped one global pharmaceutical company with roughly $20 billion in procurement spending reduce the time it takes to onboard a new supplier from over 30 days to under 10 days, and the company believes it can further cut this to less than five days. At the same company, manual compliance checks on purchase orders that previously took 36 hours now take six minutes, with 50% of transactions running completely without human intervention, he said. He said the company has compared the accuracy of Oro’s automated decisions to those made by its purchasing department employees and that the AI system’s accuracy has reached 90%. He said this inevitably means that “the number of people doing this work can be significantly reduced.”

Gregoire, the Brighton Park partner who is joining Oro’s board, said the company represents a generational shift in how procurement technology operates. “Previous generations of procurement software relied on rigid, manual decision trees that easily broke down under enterprise scale and complexity,” he said. But Oro is built on AI systems that understand the language in purchase orders, invoices, and contracts and also builds on a knowledge graph, or complex map, of how a particular company’s processes work and what its purchasing and compliance rules are.

Gregoire added that Brighton Park liked the fact that Oro’s founding team has deep roots in the procurement industry, giving them an in – depth understanding of where legacy systems fall short. “Their remarkable traction with the world’s most complex, highly regulated enterprises like Novartis, Coca – Cola, and Roche proves the platform can handle the most demanding compliance environments,” he said.

Oro plans to use the new capital to accelerate its growth, enhancing its product capabilities and expanding its sales and go – to – market teams. Bhojwani said the company spends about half of its budget on research and development. The company is also expanding what it calls the Oro Partner Enterprise Network, or OPEN, which brings together technology providers, consulting firms, and service partners. Unlike many legacy software – as – a – service companies, Oro doesn’t use a per – seat licensing model. Instead, it charges based on transaction volume—a pricing structure that Bhojwani said better reflects the value the platform delivers. “I never fundamentally believed in [the per – seat] model,” he said of seat – based pricing. “It didn’t make sense before and it definitely doesn’t make sense now.”

He also said he isn’t worried that businesses will use AI coding tools to create their own procurement software with similar capabilities to what Oro has built. He says bringing together all the capabilities that Oro has would not be easy, and even if a company did it on its own, the cost of maintaining such a system would not be something most companies would want to take on.