16 March 2020 – Insightec Targets $150m Series F

The Big Ones

Insightec is targeting up to $150m in a series F round valuing it at $1.3bn post-money, and has already received a $100m commitment from Koch Disruptive Technologies to lead the round. The company is developing a system that will use ultrasound to conduct brain surgery without making an incision, and KDT also led its last round, a $150m series E in 2017.

Investment firm LSP has raised $600m for its LSP 6 fund, which it claims is the largest life sciences venture fund in Europe’s history. Limited partners for the fund, which significantly surpassed its $450m target, include pharmaceutical firms Bristol Myers Squibb and Otsuka Pharmaceutical. Netherlands-based LSP now has a total of $1.1bn at its disposal across three funds.

WeDoctor, the operator of a medical appointment booking platform, is reportedly interviewing investment banks for roles in a Hong Kong initial public offering potentially sized at up to $1bn. The company’s investors include Tencent, Fosun, Shandong Tyan Home, NWS Holdings and AIA, the latter two having co-led its last round in mid-2018, when it raised $500m at a $5.5bn valuation. The IPO is reportedly expected to value it at up to $10bn.

And in crossover news, Passage Bio, a US-based genetic medicines developer commercialising University of Pennsylvania research, has increased its initial public offering to more than $248m after underwriters exercised their over-allotment option in full. Underwriters purchased 1.8 million additional shares at the initial public offering price of $18, thereby injecting $32.4m into the company.

Deals

Kymera Therapeutics has closed a $102m series C round that will fund the progress of its immunotherapy pipeline, with cancer, autoinflammatory and autoimmune diseases in its eyeline. Although none of them were named as participants in the round, Kymera has a raft of earlier investors from the pharmaceutical industry including MRL Ventures, Sanofi Ventures, Lilly Ventures, Amgen Ventures and Vertex Pharmaceuticals.

Elsewhere in China but in a completely different sector entirely, agricultural product distributor Wangjiahuan has closed an $87m series B round led by local services portal Meituan Dianping. The round also featured GLP’s $1.6bn Hidden Hill fund, which had supplied $58.5m in series A funding for Wangjiahuan roughly 18 months ago.

The hospitality sector looks like it’s facing an uncertain time right now, but hospitality management software provider Cloudbeds has raised $82m in funding from participants including human resources firm Recruit. The round was led by Viking Global Investors and it followed a reported $20m in earlier funding, with existing investors PeakSpan Capital and Cultivation Capital returning for the latest round.

Bristol-Meyers Squibb has contributed to a series B round for Silverback Therapeutics that has closed at $78.5m. The biologic drug developer had previously raised $47.5m in a Celgene-backed series A round, and the latest cash will be used to progress its lead antibody into clinical trials in cancer.

ShopBack, the operator of an online consumer loyalty and rewards platform, has boosted a funding round that already included Rakuten Capital to $75m. Temasek led the full round, which the company said increased its overall funding to $113m. EV Growth, whose co-founders include Yahoo Japan and Sinar Mas, also took part, ShopBack’s earlier backers including InTouch, SoftBank Ventures Asia and Singtel Innov8.

Health benefits provider Lyra Health has also raised $75m, in a series C round that included Providence Health and Services ‘ corporate VC unit, Providence Ventures, that lifted its overall funding to at least $158m. The round was led by venture capital firm IVP and Castlight Health is among the company’s earlier investors.

Elsewhere in life sciences, Harbour BioMed has closed a $75m series B-plus round that included SK Holdings, Legend Capital and Zhejiang University Future Capital. Harbour is working on antibody-based therapies for cancer and inflammatory diseases but has now added a Covid-19 candidate to its pipeline. If it hits with that, expect its valuation to skyrocket. It traces its roots back to the Erasmus MC hospital.

Pager, the developer of a medical communication app, has secured $33m in equity and debt financing from investors including health insurance provider Horizon Blue Cross Blue Shield of New Jersey. The company’s earlier backers include Horizon Healthcare Services and Grupo Sura, and the latest funding will support geographical growth and product development.

Funds

Gas utility Enagás has also been busy fundraising and has put together a $170m fund in partnership with investment bank Alantra that will provide capital for renewable energy technology developers. The corporate is providing approximately $22.7m as a first commitment to Clima Energy Transition Fund and will also offer its expertise to portfolio companies.

Corporate venturing vehicle Strive rebranded from Gree Ventures last year and put down a target of more than $130m for its third fund – essentially double the amount it raised for the predecessor. In the end, Strive has closed the fund at just over $100m. It said the main priority was to reach $100m and that its central goal is to concentrate on its portfolio companies rather than fundraising.

Exits

Small molecule drug developer Zentalis is one of several life sciences companies to have filed for IPOs in recent days (see Ayala below), and it is targeting $100m in a Nasdaq offering. The decision comes after $162m in funding and will give Pharmaron the chance to exit. Let’s just hope the recent downturn in the public markets proves to be temporary rather than something longer lasting.

It maybe be hard going in the public markets right now but Imara has nevertheless gone public, raising $75.2m in an IPO that involved it floating at the bottom of its range, despite marginally increasing the number of shares in the offering. Imara is developing therapies to combat blood disorders and its shareholders include Lundbeckfond Invest and Pfizer Ventures, which hold a combined 15% of the company post-IPO.


“Funky Chunk” Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 3.0

20 May 2019 – JD Health Agrees Series A Funding Suspected to Total More Than $1bn

The Big Ones

JD.com has agreed to take in series A funding from CICC Capital, Baring Private Equity Asia and CPEChina Fund that is expected to total more than $1bn, for healthcare services subsidiary JD Health.

Not the week’s biggest fund in terms of numbers, but an intriguing one nonetheless: Telkomsel, the mobile network subsidiary of Indonesia-headquartered telecommunications company Telkom Indonesia, has launched a $40m VC fund in collaboration with telecoms firm Singapore Telecommunications.

When it came to exits, we had a nice crossover between corporate and university with NextCure, a US-based immuno-oncology drug developer based on research at Yale University, that secured $75m in its initial public offering.

Deals

Quibi raised $1bn for its short-form streaming platform back when was known as New TV, and it’s now seeking an additional $1bn to fund content production.

SoftBank Vision Fund’s latest investment involves it supplying $800m in funding for supply chain finance provider GreenSill at a $3.5bn valuation.

Amazon isn’t a huge participant in the corporate venturing space despite its establishment of the early stage-focused Alexa Fund. But it’s led a $575m series G round for UK-based online food delivery service Deliveroo that took the latter’s funding past the $1.5bn mark.

Telecommunications technology provider China Electronics Corporation is investing approximately $548m in Beijing Qianxin Technology, a network security product supplier spun off from Qihoo 360.

Reports last month stated SoftBank was set to invest more than $550m in Germany-based tour booking service GetYourGuide but the end result is slightly more modest, if still impressive.

Vegan burger producer Impossible Foods recently launched in Asia and is set to ramp up its partnership with Burger King. It plans to fund that expansion with a $300m funding round closed at a reported $2bn valuation.

SoftBank Vision Fund’s latest Indian investment has involved it leading a $200m series F round for online grocery delivery service Grofers that valued it at more than $1bn.

Speaking of innovative business models, tube-based transport developer Virgin Hyperloop One has already raised new funding, netting $172m according to a regulatory filing, with at least $90m of that sum coming from port operator DP World and the rest from around 80 additional investors.

ETechAces, the owner of financial product comparison platforms PolicyBazaar and PaisaBazaar, has raised $152m in a round led by SoftBank Vision Fund.

Working space provider Kr Space is one of China-based 36 Kr’s network of companies, but the spinoff has fared better than most, having just secured $145m that will support an expansion into the Asia Pacific region.

Nextdoor’s geographically-arranged social network now spans more than 230,000 neighbourhoods across multiple countries, and it’s secured $123m in series D funding to support an international growth drive that has most recently seen it enter Scandinavia.

Funds

Gree Ventures, the corporate venturing arm of Japan-based digital media company Gree, has reached the first close of a fund called Strive III which it intends to close at ¥15bn ($137m).

Diversified Philippines-based conglomerate JG Summit Holdings has launched a $50m corporate venturing fund dubbed JG Digital Equity Ventures (JG DEV).

Nabventures, the investment arm of the India-based National Bank for Agriculture and Rural Development (Nabard), is aiming to raise up to Rs 7bn ($99.4m) for a venture capital fund.

Universal Display Corporation, the US-based developer of organic light emitting diode (OLED) technologies and materials, has established a corporate venturing arm called UDC Ventures.

Exits

CrowdStrike was valued at more than $3bn when it last raised funding, in 2018, and now it’s filed for an initial public offering.

Family tracking and communication app developer Life360 may be headquartered in the US but it’s taken the unusual step of floating on the Australian Securities Exchange.

Sansan has been one of Japan’s more well-funded VC-stage companies, raising some $120m from investors that include Salesforce as well as home-grown corporates Japan Post, CyberAgent, Recruit, GMO, Nippon Life and Nikkei.


“Funky Chunk” Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 3.0

29 May 2017 – Home Fitness Service Peloton Raises $325m and Much More

Deals

Alibaba and Ant Financial are reportedly set to lead a $1bn round for food ordering platform Ele.me that will value it at up to $6bn.

Peloton, the home fitness service that combines a high-tech exercise bike with a subscription-based service that makes it feel like you’re in a live class (within reason obviously, though who would bet against VR being integrated into Peloton’s offering in the near future?), has raised $325m in a series E round featuring Comcast NBCUniversal.

Livestreaming has become one of the fastest growing parts of the media sector, not least in China where Panda TV has raised $140m in a series B round led by brokerage firm Industrial Securities.

R3, a consortium formed by a few dozen financial services operators to develop and commercialise blockchain technology for the industry, has secured $107m in the first two tranches of a series A round that includes Intel Capital, Ping An and Temasek, the sovereign wealth fund of Singapore, as well as around 40 banks.

In other news, Chinese mobile communication app developer Chubao has raised $100m in a series D round that included Susquehanna International Group, which has been an investor in the company since 2011.

Huya, the livestreaming subsidiary of online video streaming platform YY, has spun out with $75m of series A funding led by Ping An Insurance.

UrWork was founded only two years ago but it could yet turn out to be the Didi Chuxing of the co-working sector.

We’ve also had a few nice triple helix deals in the past week, such as Symic Bio, a biopharmaceutical spinout of Purdue University, that has completed a $30m series B round backed by all its existing investors, including Purdue Foundry Investment Fund, a vehicle backed by Purdue University focused on the institution’s spinouts.

Funds

The big news is that SoftBank has finally announced the first close of its Vision Fund, having raised an immense $93bn in capital.

WuXi Healthcare Ventures, the corporate venturing arm of WuXi PharmaTech, has agreed to merge with VC firm Frontline BioVentures to form a healthcare-focused investment firm called 6 Dimensions Capital that will have some $800m of assets under management.

Saudi Telecom formed strategic VC firm STC Ventures in 2011 to invest in the IT, telecommunications and media sectors, but as times change so do the requirements for corporate venturing, and the firm has elected to commit $500m to a new fund named STV that will back more advanced digital technologies.

Gree Ventures, the corporate venturing arm of social media and gaming company Gree, has closed its second fund at $67m.

We didn’t see any big fund launches on GUV, and while there were some on GGV, the most interesting news here was that the European Investment Fund has started pulling out of the UK following the country’s decision to abandon the EU.

Exits

Flipkart’s acquisition of rival Snapdeal is getting closer with news that SoftBank has bought out the shares of various other Snapdeal board members to clear the way for the deal.

Delivery Hero raised more than $420m from Naspers earlier this month at a reported $3.1bn valuation, but sources have told Reuters it is planning to launch an IPO in the next few weeks that could value it at up to €4bn ($4.5bn).

Sea, the Singapore-registered online services platform that recently rebranded from Garena with a $550m funding round, has confidentially filed for an IPO in the US that will give exits to corporate investors Tencent, JG Summit and Uni-President Enterprises, according to Bloomberg.

Bioverativ has agreed to acquire True North Therapeutics for $400m upfront with up to $425m in milestone payments to come.

On GUV, news emerged on Tuesday that commercialisation firm IP Group had made a bid for Touchstone Innovations, its peer that was spun out of Imperial College London. Touchstone rebuffed the offer, though a majority of its shareholders (some of which also own IP Group stakes) are pushing for the takeover.


“Funky Chunk” Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 3.0