Kodiact raises $2.5m for raw-material sourcing software

Kodiact raised $2.5 million in pre-seed funding on Nov. 2, the Chicago-based sourcing-software startup said in a GlobeNewswire press release.

The round matters because Kodiact is pitching manufacturers on software for direct materials, the raw inputs used in finished goods, as the press release cited Deloitte data showing procurement chiefs now allocate about 20% of budgets to procurement technology, nearly twice the 2023 share.

Supply Change Capital led the financing, with Green Circle Foodtech Ventures and Velocity Catalyst also participating, according to the company. Kodiact said the money will be used to expand market data, simulation features and AI-agent capabilities, add enterprise deployments and pursue partnerships.

Kodiact said its platform was launched in May 2026 and covers more than 500 raw materials across 23 categories. The company sells initially to food, beverage and consumer-goods manufacturers, where purchases of ingredients, packaging and other inputs can shape margins.

“Kodiact lets us model and rehearse our decisions before we make them. We're pleased to be part of their early adopter program applying advanced AI capabilities to our category strategy,” John Hutchinson, director of procurement at AG Barr, said in the press release.

The company said its software connects with enterprise resource planning systems such as SAP and Microsoft Dynamics. Enterprise resource planning systems are the core software companies use to manage operations, finance and supply chains.

Kodiact said its platform links purchased materials to market forces that affect prices, shows which products and margins are exposed when a commodity moves, and records sourcing decisions in a shared ledger. Those product claims could not be independently assessed from the press release.

The company framed the financing around volatility in input costs. Kodiact said cocoa prices rose nearly fivefold between early 2023 and late 2024, while tariffs, crop failures linked by the company to climate and repeated supply disruptions have made purchasing plans harder to set.

“When I was trading cocoa, the best buyers carried the whole market in their heads, and when they left, that knowledge left with them,” Steve Tucker, Kodiact co-founder and chief executive, said in the press release. “Thirty years later, most manufacturers still manage their highest cost on spreadsheets. We built Kodiact so every buyer can see what’s coming, test their options, and act before volatility hits the bottom line.”

Kodiact was co-founded by Tucker and Chief Operating Officer Dan Daehler. The company said the two previously built a procurement consultancy acquired by an SAP partner and an AI contract-management business acquired by DocuSign; Tucker later led sales at Evisort through its acquisition by Workday. Jonathan Lee, described by the company as a former founder and AI engineer, joined as chief technology officer in 2026.

Shayna Harris, co-founder and managing partner of Supply Change Capital, said direct materials are central to manufacturing margins and are often still managed through spreadsheets. Stu Strumwasser, co-founder and managing director of Green Circle Foodtech Ventures, said improvements in direct-input purchasing can produce “tens of millions in savings” for large food and beverage manufacturers.

The press release did not disclose Kodiact’s valuation, revenue, customer count, ownership dilution or detailed financing terms. It also did not provide dated milestones for product releases, customer additions or expansion into cosmetics, packaging and chemicals.

Source: press release, Kodiact via GlobeNewswire, Nov. 2, 2026