Capitol Swag #42

AI is coming to take over HR

FinTech once again is trying to up-end its own industry once again, while anti-phishing groups are reeling in the investments. Another coffee company is attempting to break out of Starbucks shadows (which shouldn’t be that hard as their coffee (Opinion: it is awful). A real-time based search engine is making a stab at Google (anti-trust anyone), while HR is going to the robots.  Another half-billion was raised within the Private Equity sectors.

VENTURE DEALS

• Optimizely, a platform that offers tools for A/B testing and personalization on the web and in mobile apps, raised $50 million in Series D funding. Goldman Sachs Private Capital led the round and was joined by investors including Accenture Ventures. Read more.

• Zego, a London-based insurtech firm, raised $42 million in Series B funding. Target Global led the round and was joined by investors including TransferWise founder Taavet Hinrikus.

• Token, a San Francisco-based turnkey open banking platform, raised $16.5 million in funding. Investors include Opera Tech Ventures.

• Black Sheep Coffee, a London.-based coffee shop chain, raised 13 million pounds ($16.3 million) in funding. Investors include Tellef Thorleifsson, CEO of Norfund and co-founder of Northzone Fund and Bill Shultz, president of Coca-Cola Canada and board member at Coca-Cola Global.

• Ironscales, a Tel Aviv-based automated phishing prevention, detection and response provider, raised $15 million in Series B funding. K1 Investment Management led the round.

• Aptible, a Denver, Colo.-based provider of secure, compliant infrastructure hosting, raised $12 million in Series A funding. Maverick Capital led the round and was joined by investors including Thrive Capital and Western Technology Investment.

• NewtonX, a New York-based real-time expert search engine, raised $12 million in Series A funding. Two Sigma Ventures led the round and was joined by investors including Third Prime Capital and Xfund.

• Payveris, a Rocky Hill, Conn.-based open API-based intelligent payments platform, raised $7 million in Series D funding. Mosaik Partners led the round and was joined by investors including Connecticut Innovations, Advantage Capital and Black Dragon Capital.

• Symetrica, London-based radiation detection, and identification specialist raised £3 million ($3.8 million) in funding. Parkwalk and Nesta led the round.

• PredictiveHR, a SaaS platform company that enables people analytics by utilizing machine learning to predict talent trends and their financial impacts, raised $1 million in funding from angel investors. The investors were not named.

HEALTH AND LIFE SCIENCES DEALS

• Quartet, a New York City-based healthcare technology company, raised $60 million in Series D funding. Investors include Centene Corporation, F-Prime Capital Partners, GV, Oak HC/F, and Polaris Partners.

FIRMS + FUNDS

• InTandem Capital Partners, a New York City-based private equity firm, raised $250 million for its second fund, according to an SEC filing.

• GenNx360 Capital Partners, a New York City-based private equity firm, raised more than $298 million for its third fund, according to an SEC filing. The target is $800 million.

Georgia says the Heck with Peaches bring on the Cannabis

Georgia ditched the Peach for Cannabis

More folks are coming for Netflix, so maybe they shouldn’t have raised their rates.  First, the Finnish did bookshelves, so it was just natural that they would move to nuclear reactors. Georgia businesses have no worry about a boycott, as Atlanta just scored a $100M cannabis score. For all those screaming that the economy is heading for the first recession in ten years, well all I have to say is last week private-equity raised over $1.2 BILLION – with a B — dollars.


Venture

Jaja, a U.K.-based mobile-first business providing credit cards and other financing services, plans to acquire the U.K. credit card accounts of the Bank of Ireland for 530 million pounds ($671 million). Jaja also raised  £20 million ($25 million) in funding from investors including KKR and Centerbridge Partners.

MobiTV, an Emeryville, Calif.-based provider of IP-based video delivery solutions, raised over $50 million in funding from Oak Investment Partners, Ally Financial, and Cedar Grove Partners. 

Ornikar, a French driving school startup, raised 35 million euros ($40 million) in funding. Idinvest and Bpifrance led the round.

Picosun Oy, a Finnish manufacturer of atomic layer deposition reactors, raised 12 million euros ($13.6 million) in funding. Investors included CapMan Growth fund, Finnish Industry Investment Oy, and First Fellow Partners.

SV Academy, a San Francisco-based firm seeking to train potential Silicon Valley employees, raised $9.5 million in Series A funding. Owl Ventures led the round and was joined by investors including Kapor Capital and Strada Education Network.

Fellow, an Ottawa-based employee management software with personalized recommendations on productivity, raised $6.5 million in seed funding. Investors included Inovia Capital,  Felicis Ventures and Garage Capital.

Laundrapp, a London-based laundry service merged with Zipjet, a Berlin-based on-demand laundry business. The merged company also raised a fresh funding round from existing investors including Toscafund, Hargreave Hale VCT, Henkel, and Rocket Internet.  .

HEALTH

– Surterra Wellness, an Atlanta, Ga.-based retailer of cannabis-based medical products, raised $100 million in Series D funding. Investors included former Patrón Spirits Company CEO Ed Brown.

Paloma Health, a New York-based digital medical practice focused on hypothyroidism, raised $2.5 million in seed funding. Crosscut Ventures led the round and was joined by investors including Human Ventures, and FJ Labs.

Private Equity

Northleaf Capital Partners acquired CSV Midstream, a Calgary-based provider of midstream solutions.

– Ithaca Holdings, a portfolio company of the Carlyle Group, plans to acquire Big Machine Label Group, Tennessee-based records, and media holding company.

Permira is weighing a potential sale or IPO of British bootmaker Dr. Martens, per Bloomberg citing sources. Permira bought Dr. Martens in 2014 for 380 million euros ($432 million).

OTHERS

Berry Global Group acquired RPC Group, a British packaging firm, for $6.5 billion including debt.

Apple invested $100 million in Japan Display, a Japanese electronics screen maker. Apple will join a consortium led by Harvest Group that will invest up to $743 million in the firm, per Reuters citing sources. .

RockRose Energy acquired the U.K. businesses of Marathon Oil, a Houston-based oil firm, for $95 million.

1aim, a Berlin-based startup providing mobile access control for office buildings, was acquired by FSB.

IPOS

Advantage Insurance, a San Juan, Puerto Rico-based life insurance provider, withdrew plans for a $150 million IPO. Raymond James, JMP Securities and B. Riley & Co. were underwriters in the deal. The firm planned to list on the NYSE as “AVI.”

Livongo Health, a Mountain View, Calif.-based healthcare platform for chronic illness management, filed for a $100 million IPO. It posted revenue of $68.4 million in 2018 and a loss of $33.5 million. General Catalyst, Kinnevik Online, and KPCB Holdings back the firm. Morgan Stanley, Goldman Sachs, and J.P. Morgan are underwriters. It plans to list on the Nasdaq under the symbol “LVGO.” .

ProSight Global, a Morristown, N.J.-based specialty insurer, filed for a $100 million IPO. Goldman Sachs and TPG back the firm. The firm posted revenue of $785.9 million in 2018 and an income of $55.3 million. Goldman Sachs, Barclays, and BofA Merrill Lynch are underwriters. It plans to list on the NYSE as “PROS.” .

EXITS

Brookfield Infrastructure and GIC will acquire Genesee & Wyoming, a Darien, Conn.-based railroad firm, for about $8.4 billion including debt.

KKR plans to sell Kokusai Electric Corp, a Tokyo-based maker of semiconductor-manufacturing equipment, to Applied Materials for $2.2 billion. 

KJK Sports, a portfolio company of KJK Management, agreed to acquire Baltic Bicycle Trade UAB, the parent company of a Lithuanian bike manufacturer, from Asgaard A/S and LT capital I.

TPG Growth acquired Crunch Fitness, a gym chain backed by Angelo, Gordon & Co.

Firms and Funds

LBC Credit Partners plans to raise $1 billion for its fifth fund, per an SEC filing

Susa Ventures announced its third fund, a $90 million early-stage fund, a $50 million opportunity fund, as well as a $2 million parallel fund.

TDK Corporation (TSE: 6762) launched TDK Ventures, with a $50 million fund focused on material science and power.

The Robots are coming for our ... Doctors?

Teachers are returning to space or at least their money is, while restaurants are once again joining the “It” crowd. Email is making a comeback even as social media is trying to kill it. The Terminator is breaking into the Energy Sector while biotech continues to get all the best invites to the ball.

VENTURE DEALS

• Fungible, a Santa Clara, Calif.-based provider of data-centric computing, raised $200 million in Series C funding. SoftBank Vision Fund led the round and was joined by investors including Norwest Venture Partners.

• Restaurant365, an Austin and Irvine, Calif.-based provider of cloud-based restaurant accounting software, raised $88 million in funding. ICONIQ Capital led the round.

• Aera Technology, a Mountain View, Calif.-based firm focused on self-driving execution, raised $80 million in Series C funding. DFJ Growth led the round and was joined by investors including New View Capital and Georgian Partners.

• Sanifit, a Spain and San Diego-based biopharmaceutical company focused on treating progressive vascular calcification disorders, raised $80.9 million in funding. Caixa Capital Risc led the round.

• Laiye, a Beijing-based AI concierge service, raised $35 million in Series B funding led by Cathay Innovation, and was joined by investors including Wu Capital and Lightspeed China Partners.

• Superhuman, a San Francisco-based email ordering app, raised a $33 million in Series B funding. Andreessen Horowitz led the round. Read more.

• Calysta, a Menlo Park, Calif.-based firm focused on protein animal feed, raised $30 million in funding. BP Ventures was the investor.

• Ultivue, a Cambridge, Mass.-based provider of tissue biomarker identification, raised $22 million in Series C funding. Northpond Ventures led the round and was joined by investors including ARCH Venture Partners, 6 Dimensions Capital, Yonghua Capital, and Applied Ventures.d

• Vaxess Technologies, a Cambridge, Mass.-based biotechnology company focused on silk-powered MIMIX smart release patch, closed its $8.2 million Series A round. The Engine led the round.

• ConnexPay, a Minneapolis travel industry payments provider, raised $7 million in Series A funding. BIP Capital led the round.

• VIA, Somerville, Va.-based artificial intelligence and blockchain provider focused on the energy and utility industry, raised $7 million in seed funding from Westly Group.

• WeGift, a London-based firm for digital rewards and automated gift card transactions, raised 4 million pounds ($5.1 million) in Series A funding. Stride.vc and was joined by investors including SAP.iO Fund and Unilever Ventures.

• Homeroom, a San Francisco-based platform for after-school tutoring sessions, raised $3.5 million in seed funding. Forerunner Ventures led the round and was joined by investors including Felicis Ventures, Precursor Ventures and Kapor Capital.

• Opendorse, a Lincoln, Neb.-based athlete marketing platform, raised $3.1 million in funding. Serra Ventures and Flyover Capital led the round.

• 3Box, a Brooklyn, N.Y.-based enterprise platform developer focused on cloud storage, raised $2.5m in a seed round led by Placeholder Ventures, where he is a venture partner.

• C2RO, a Montreal-based robotics SaaS platform, raised C$2.25 million ($1.7 million) in funding. Fonds Innovexport led the round and was joined by investors including GCI Capital Inc, Harbor Street Ventures, Tandemlaunch, and Ministere de Economie et L’Innovation.

PRIVATE EQUITY DEALS

• Lego’s founding family and Blackstone Group agreed to acquire Merlin, the owner of Madame Tussauds, for $7.5 billion deal, per Reuters.

• Ontario Teachers’ Pension Plan invested in SpaceX, the maker and operator of rockets and spacecraft.

• Chico’s FAS Inc rejected the most recent buyout offer from Sycamore Partners. Sycamore planned to offer $3 a share cash or $350 million. Read more.

• Temasek Holdings agreed to acquire 21.7% of Li & Fung Ltd’s subsidiary LF Logistics Holdings for $300 million, per Reuters.

• KKR and Blackrock closed a deal to acquire 40% of Abu Dhabi National Oil Company‘s pipelines for $4 billion, per Reuters.

• Incline Equity Partners acquired Brown & Joseph, an Itasca, Ill.-based debt collection agency.

• MPE Partners invested in Garmat USA, an Englewood, Colo.-based provider of products for automotive collision repair.

• Illuminate Education, a portfolio company of Insight Partners, acquired FastBridge Learning, a Minneapolis-based assessment platform that helps teachers monitor student progress.

• Advent International agreed to acquire a majority stake in Transaction Services Group, a provider of business management software and payments solutions.

• Arlington Capital Partners made a majority investment in Riverpoint Medical, a Portland, Ore.-based maker of medical devices.

• Persistence Capital Partners invested in Anova Fertility & Reproductive Health, a Toronto-based provider of fertility and reproductive care.

OTHER DEALS

• Bracco Imaging S.p.A agreed to acquire Blue Earth Diagnostics, an Oxford, U.K.-based molecular imaging company, for $450 million.

• Quanterix agreed to acquire Uman Diagnostics, an Umea, Sweden-based supplier of neurofilament light antibodies and ELISA kits focused on neurodegenerative conditions. Quanterix agreed to pay $16 million in cash and $6.5 million in Quanterix stock.

• Mood Media acquired all the assets of South-Central A\V, a Nashville-based affiliate of mood focused on audiovisual systems.

IPOS

• Belle International filed plans to spin off its sportswear business through an $1 billion Hong Kong IPO, Reuters reports citing sources.

• Change Healthcare, a healthcare tech firm, raised $557 million in an offering of 42.9 million shares priced at $13, below its $16 to $19 range. The firm posted revenue of $3.3 billion and income of $176.7 million in the year ending March 2019. McKesson, Blackstone, and Hellman & Friedman back the firm. Barclays, Goldman Sachs, and J.P. Morgan are underwriters.

• BridgeBio Pharma, a Palo Alto, CA-based Phase 3 biotech for genetic diseases, raised $349 million in an offering of 20.5 million shares priced at $17, above its $14 to $16 range. It has yet to post a revenue and posted losses of $144 million in 2018. KKR and Viking back the firm. J.P. Morgan, Goldman Sachs, Jefferies, SVB Leerink, KKR, Piper Jaffray, Mizuho Securities, BMO Capital Markets, and Raymond James are underwriters.It plans to list on the Nasdaq as “BBIO.”

• Adaptive Biotechnologies, a Seattle-based maker of an immunosequencing platform for diagnosing diseases, now plans to raise $300 million in an IPO of 15 million shares priced between $18 to $19. It posted revenue of $55.7 million and loss of $46.4 million in 2018. Viking Global (36% pre-offering) and Matrix Capital (16.4%) back the firm. Goldman Sachs, J.P. Morgan, BofA Merrill Lynch, Cowen, Guggenheim Securities, William Blair, and BTIG are underwriters.  It plans to list on the Nasdaq as “ADPT.”

• Health Catalyst, a Salt Lake City-based provider of a data analytics platform and services to healthcare organizations, filed for a $100 million IPO. The firm posted revenue of $112.6 million in 2018 and losses of $62 million. Sequoia (21.9% pre-offering), Norwest (21%), and UPMC (6.3%) back the firm. Goldman Sachs, J.P. Morgan and William Blair are underwriters. It plans to list on the Nasdaq as “HCAT.”

• Howard Midstream Partners LP, a San Antonio, Texas-based operator of midstream energy assets in Texas and Pennsylvania, withdrew plans for a $200 million IPO.

• Morphic Holding, Waltham, Mass-based maker of oral small-molecule integrin therapeutics for various chronic diseases, raised $90 million in an IPO of 5 million shares priced at $15, the midpoint of its range It posted revenue of $3.4 million in 2018 and loss of $23.8 million. GlaxoSmithKline (9.8% pre-offering) and Pfizer (9.3%) back the firm. Jefferies, Cowen, BMO Capital Markets, and Wells Fargo Securities are underwriters. It plans to list on the Nasdaq as “MORF.”

• Karuna Therapeutics, a Boston-based Phase 2 biotech developing therapies for schizophrenia and other CNS disorders, raised $89 million in an offering of 5.6 million shares priced at $16, at the midpoint of its $15 to $17 range. It has yet to post a revenue and posted losses of $17.5 million in 2018. PureTech Health, ARCH Ventures, and The Wellcome Trust back the firm. Goldman Sachs, Citi and Wells Fargo Securities plans to list on the Nasdaq as “KRTX.”

• WiMi Hologram Cloud, a Beijing-based holographic augmented reality application platform, filed for a $50 million in an initial public offering. The firm posted revenue of $32.8 million in 2018 and income of $13.3 million. The Benchmark Company, Maxim Group LLC, China Merchants Securities, AMTD Global Markets, BOCI Asia, China Everbright, GF Securities, and Axiom Capital Management are underwriters. It plans to list on the Nasdaq as “WIMI.”

EXITS

• Centerbridge Partners L.P. agreed to acquire Solidus Solutions, a European producer of sustainable-fibre based packaging solutions, for an enterprise value of €330 million ($375.5 million), from Aurelius Equity Opportunities.

• Equistone Partners Europe is in exclusive negotiations to acquire Sateco, a French firm focused on manufacturing and distribution of metal formwork equipment for construction sites, from Naxicap Partners.

• Court Square Capital Partners agreed to acquire Offen Petroleum, a Commerce City, Colo.-based provider of petroleum logistics services, from Lariat Partners.

• Lightyear Capital and Ontario Teacher’s Pension Plan agreed to acquire Lendmark Financial Services, a Lawrenceville, Ga.-based consumer finance platform. from Blackstone. No financial terms were disclosed.

FIRMS + FUNDS

• Deerfield Management plans to raise $1 billion for Deerfield Healthcare Innovations Fund II, per an SEC filing.

• Top Tier Capital Partners plans to raise $350 million for Top Tier Venture Capital IX, per an SEC filing.

• Bookend Capital Partners plans to raise $300 million for its debut fund, per an SEC filing.