Legaltech firm Wordsmith AI has secured a $14m (£10.4m) extension to the $70m (£50m) Series B investment it announced in June.
The extension was led by new investment from Intact Private Capital, alongside existing investors Highland Europe and Index Ventures. FT Ventures has also become a shareholder in Wordsmith.
The Scottish startup was founded by CEO Ross McNairn, CTO Volodymyr Giginiak and COO Robbie Falkenthal.
McNairn is a former lawyer turned technology executive who helped scale Perk from $1m to $200m in annual recurring revenue (ARR). He also previously held senior roles at Skyscanner before its $1.7bn exit.
Giginiak spent more than a decade at Facebook and Instagram and more than six years at Microsoft. Falkenthal spent more than six years at KPMG Dublin before holding senior leadership roles at Perk.
The additional investment follows a period of rapid growth for Wordsmith.
14x revenue growth
Revenue has increased 14-fold year on year, and the platform is now used by more than 500 companies, including BT, the Financial Times, Sage, Starling, Canva and Safelite.
The funding will deepen Wordsmith’s presence in North America, where demand from enterprise legal teams is accelerating, and strengthen its footprint in the financial services and insurance sectors.
Unlike legal AI start-ups that serve both law firms and corporate legal departments, Wordsmith is built exclusively for in-house legal teams.
Wordsmith believes the two markets require fundamentally different products. While law firms manage external matters and operate around billable hours, in-house teams need to resolve more work internally, control spending on external counsel and provide faster support to every part of the business.
Ross McNairn, CEO and co-founder of Wordsmith, said: “Since we announced our Series B, some of the world’s largest enterprises have chosen Wordsmith AI.
“We’ve spent the months since working closely with their legal teams and building the platform around what they need to run their function.
“This extension gives us more room to move faster, particularly in North America and across financial services and insurance.”
Justin Smith-Lorenzetti, managing director at Intact Private Capital, said: “Intact Private Capital is excited to support Wordsmith at this stage of growth.
“In-house legal teams at financial services and insurance companies need legal infrastructure that can operate at enterprise scale while maintaining the control and auditability required in highly regulated environments.
“Wordsmith is built precisely for that challenge, with a deep understanding of how these organisations work and the infrastructure to match.”