Technology

Investing in AI-powered, inclusive recruitment software

A $A13.9 million investment from Macquarie Capital’s Venture Capital team has supported the global expansion of an Australian-based startup focused on inclusive and efficient recruitment.

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Sector	Technology
Sub-sector	Software
Location	Australia

Opportunity

Australian-based startup Sapia.ai (Sapia) created an AI-powered technology platform that aims to increase the equitability, efficiency, and effectiveness of the hiring process.

Its AI Smart Interviewer tool features intuitive, data-driven candidate assessments that help companies make faster, smarter and unbiased hiring decisions. Uniquely for interview software, Sapia also has very high applicant satisfaction which is driven by the user experience, personalised insights and interview tips provided.

Approach

Macquarie Capital's Venture Capital (MCVC) business has a long history of investing in the HR and recruitment space across Australia and Asia.

Tight labour markets globally and increasing recognition that employers need to deliver a positive interview experience for candidates has driven strong growth at Sapia. The MCVC team were impressed by Sapia’s technology and how it was using AI to provide companies with additional ways of promoting diversity and inclusion by reducing unconscious bias.

MCVC, alongside W23, the investment arm of Woolworths Group, led a $A17 million Series A funding round for Sapia.

Outcome

The platform has grown rapidly, with customer numbers more than doubling over 2022.

Sapia has been used to interview over 2 million people in 30 countries.¹ Funds from the raise will be used for Sapia’s ongoing overseas expansion, including making the product available in multiple languages. Sapia will continue to generate vital data that helps businesses to identify and interrupt the biases that affect human perception.

The platform is designed to give diverse candidates an equal chance and promote fair, merit-based hiring decisions. In particular, Sapia has helped one client, a major British retailer, hire three times more ethnic minorities and 1.5 times more women, as well as twice as many LGBTQI+ employees than it had three years ago.