MAGIC AI raises £8m in Series B led by Beringea and IW Capital
This article covers MAGIC AI, a healthtech startup that has raised £8m in a growth funding round co‑led by Beringea and IW Capital to accelerate US expansion and deepen the data behind its ReflectAI® technology. The funding is intended to support scaling the Mirror product, advance feature and modelling work, and expand the startup's motion and coaching dataset for personalised AI‑coached workouts.
MAGIC AI, a healthtech startup, has raised £8.3 million in a growth funding round (announced as a Series B) co‑led by Beringea and existing backer IW Capital to accelerate US expansion and deepen the data behind its ReflectAI® technology. The deal, which also includes PXN Group, Accelerate Ventures, Ventures Together and Active Partners, takes total funding to about £15 million and is positioned as one of the largest funding rounds for an AI fitness company this year.
Why it matters
The investment highlights continued investor interest in consumer fitness products that combine computer vision and generative AI to deliver personalised home workouts. MAGIC AI says the Mirror product has logged more than 500,000 AI‑coached workouts across 150,000 hours, and that its dataset is the largest of its kind for motion and coaching — metrics investors cite when judging product defensibility.
The company reports 342% annual growth, more than 18,000 paying community members across all 50 US states and recognition from TIME Magazine and the King’s Awards for Enterprise. The new capital is aimed at turning those signals into a larger US business and richer longitudinal user data, shifting from simple rep counting to models that interpret user progression over time.
Inside the product
The Mirror combines computer vision with what MAGIC AI describes as holographic coaching: generative AI morphs celebrity athletes into interactive trainers that coach users in real time. The system uses proprietary ReflectAI® to track motion, correct form, count repetitions and guide more than 1,000 exercises.
Celebrity coaches featured on the Mirror include former Manchester United and England forward Jesse Lingard, former England cricket captain Sir Alastair Cook and Strictly Come Dancing’s Katya Jones. MAGIC AI says its product has supported a large volume of supervised sessions, which it uses to train and fine‑tune its models.
The company is also boosting its leadership team, with hires including the former managing director of Peloton International, a new chief commercial officer and a former head of operations, underlining a push to scale distribution and operations as it targets the US market.
Who are the investors?
The round was co‑led by Beringea and IW Capital. Other participants include PXN Group, Accelerate Ventures, Ventures Together and Active Partners. The investment is described as strategic: backers point to the product’s traction in direct‑to‑consumer sales, strong unit economics and momentum in new features and subscription services as reasons to support US expansion and further development of the Mirror’s data layer.
Emma Biasiolo, Investor at Beringea, said:
MAGIC AI is one of those businesses where the momentum was immediately obvious to us - customers love the product and it's hitting a real shift in the needs and preferences of consumers who have moved towards a hybrid workout style post-COVID. We've been in touch with Varun over the last few years and have been impressed with his infectious energy and relentless drive. Building on the existing traction in the UK - alongside attractive unit economics and incredible growth - we see significant potential for further expansion in the US, which we are excited to support.
David Fisher, Investor at IW Capital, said:
Since our initial investment in 2024, MAGIC AI has grown its direct-to-consumer business extremely rapidly. We're delighted to invest again to support this new funding round and help accelerate that momentum, which has continued into 2026 with new feature launches, entry into the US, and the launch of subscription services.
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Founder perspective
Varun Bhanot, Co‑founder & CEO at MAGIC AI, framed the round around two priorities: growing the US business and improving the Mirror’s understanding of user progress.
Varun Bhanot, Co‑founder & CEO at MAGIC AI, said:
This round is about two things: America will make up most of our business by next year, and going far deeper into the data layer behind ReflectAI®, so that the Mirror does not just count what a user does but understands how they are progressing over time. We're thrilled to have such strategic investors on board for our expansion.
The company plans to use the fresh capital to expand US distribution, accelerate feature development and invest in data and modelling work to capture longer‑term engagement and outcomes.
The bigger picture
MAGIC AI’s raise comes as interest in AI‑enabled fitness and healthtech products grows, driven by hybrid workout habits and improvements in on‑device and cloud‑based computer vision. The AI fitness space is estimated as a multibillion‑dollar market, and investors are watching which companies can turn early engagement into sustainable subscription and hardware economics.
For the UK ecosystem, the deal underlines a pattern of homegrown healthtech startups seeking their scale in the US once they have proven product‑market fit at home. If MAGIC AI converts its dataset and product traction into durable US revenue, it will add to a small but growing list of UK consumer healthtech companies that have attracted sizeable growth capital while keeping R&D and IP rooted in Britain.
They've invested in MAGIC AI
Get to know these healthtech investors
| Investors | Investment Focus | Startup Investments | Round Size | Connect |
|---|---|---|---|---|
 Beringea( ) Beringea is a venture capital firm focused on empowering visionary entrepreneurs... London  | ||||
 IW Capital( ) IW Capital focuses on investing in UK businesses, enabling investors to benefit ... London | ||||
 PXN Ventures( ) PXN Ventures is a UK-based venture capital firm focused on backing high-growth c... Manchester | ||||
 Accelerate Ventures( ) , US  | ||||
 Ventures Together( ) Ventures Together is a UK-based venture capital firm known for its unusually bro... London | ||||
 Active Partners( ) Active Partners is a consumer-focused investment firm that partners with visiona... London | ||||
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