30 November 2020 – Stripe Opens Discussions for Funding at Potential $100bn Valuation

The Big Ones

Digital payment technology and services provider Stripe last raised money in October 2019, closing $850m from investors including Alphabet unit GV at a whopping $36bn valuation. But its next round could double that valuation, sources told Bloomberg, adding that it has opened discussions with prospective investors and that a $100bn valuation could be possible for the transaction. That hike would mirror the huge share price rises for competitors Square and PayPal in recent months.

Canada-listed phone operator Telus has paid heed in setting up a C$100m ($76.5m) social impact corporate venturing fund to complement its existing Telus Ventures unit under Rich Osborn. Darren Entwistle, president and CEO of Telus, said: “This C$100m investment will accelerate potent, scalable and socially responsible services coming to market, helping to answer some of the most pressing challenges facing our world, including socioeconomic inclusiveness.” The Telus Pollinator Fund for Good will target healthcare entrepreneurs, social and economic inclusion and ensuring sustainable food production under Blair Miller, managing partner and Telus’ former vice-president of consumer products and content.

Mobile commerce platform developer Wish has become the third US-based tech company to file for a $1bn initial public offering in the space of a week, after Airbnb and Roblox. JD.com reportedly invested up to $55m in Wish as part of a 2015 series D that valued it at $3.5bn, but that valuation had soared to over $11bn as of its last round, an August 2019 series H. It has also seen substantial revenue growth this year, though its net losses increased at the same time.

Catamaran Bio, a US-based cancer treatment developer founded out of University of Minnesota and George Washington University (GWU), launched last week with $42m of series A funding co-led by Sofinnova Partners and Lightstone Ventures. Takeda Ventures, a strategic investment arm of Takeda, also took part in the round, as did SV Health Investors and Astellas Venture Management. Incorporated in September 2019, Catamaran Bio is developing cell therapies for a broad range of cancers, including solid tumours. The spinout hopes to deliver off-the-shelf drugs, as opposed to some cell therapy treatments that require samples extracted from the patient. The cash will allow it to progress two lead programmes into the clinic and to upgrade its underlying cell engineering technology.

Deals

Manbang Group, the Chinese trucking services platform also known as Full Truck Alliance, has pulled in $1.7bn through a round co-led by SoftBank Vision Fund and backed by another returning corporate investor, Tencent. The cash was reportedly secured at a valuation just short of $12bn and shows the value of consolidation, the company being formed by the merger of rivals Huochebang and Yunmanman three years ago.

On the other end of the experience stakes, Resilience has emerged from stealth with $800m in funding, $750m of which was raised in a series B round featuring Alphabet unit GV. The startup can be seen as one of what may well be a series of large-scale companies formed during the covid-19 pandemic specifically to deal with its effects. It is working on an advanced manufacturing set up for gene and cell therapies as well as vaccines, proteins and viral vectors, and should do brisk business considering the number of drug developers raising big money or going public right now.

Digital property and casualty insurance provider Hippo has raised $350m from Mitsui Sumitomo Insurance at a reported $2bn valuation, as part of a deal that will involve the latter taking on some of the risk for the company. The companies also revealed that MS&AD Ventures – like Mitsui Sumitomo, part of the MS&AD insurance group – was among the investors in its last round, a $150m series E in July that valued it at $1.5bn post-money.

Indian automotive e-commerce marketplace Cars24 has secured $200m in a series E round led by investment firm DST Global at a valuation topping $1bn. The company, which counts KCK Global as an earlier investor, also revealed its business has reached and surpassed pre-coronavirus levels, which could be a testament to the recovery of India’s used car market or perhaps a sign it is simply migrating online.

For all the headlines being grabbed by the pharmaceutical sector, the technology area that has really taken big steps forward this year is arguably online education. Duolingo and Udemy both also raised more money this past week at unicorn valuations while coding education platform developer Codemao has bagged $198m in series D funding. The company’s existing investors include Southern Publishing and Media and Cheetah Mobile, and the latest round was led by an affiliate of Baring Private Equity Asia.

Elsewhere in fintech, digital bank Current has raised $131m in a series C round led by Tiger Global Management that valued it at $750m. The deal came just over a year after the company secured $20m in a round featuring Cuna Mutual’s CMFG Ventures unit. That leap is another sign of the significant growth in the sector, though the neobank space is at the same time beginning to get somewhat crowded.

SomaLogic, a developer of proteomics technology for use in drug treatments and healthcare data, has closed $121m in a round led by life sciences investment firm Casdin Capital. The company, interestingly, termed the round as a series A despite it being 20 years old and now the recipient of more than $485m in funding in that time. Its earlier investors include Nan Fung Life Sciences, iCarbonX, Novartis, Otsuka Pharmaceutical and Quest Diagnostics.

Funds

Cleantech isn’t the force it once was in the startup space but it’s a long way from being dead. Vestas, the biggest pure-play wind turbine maker in the world, was reportedly considering the formation of a strategic investment arm back in 2017 but it’s waited until now to launch the vehicle, dubbed Vestas Ventures. It will invest roughly $1m to $7m per deal in renewables and sustainable technology developers.

Financial services provider Orix has invested $60m in Israel-based equity crowdfunding platform operator OurCrowd as part of a strategic collaboration deal. OurCrowd runs a venture capital investment platform that allows businesses and individuals to invest in a curated selection of startups across a range of sectors from seed to pre-IPO stage.

Mobile network operator Orange has committed an undisclosed amount of capital to France-headquartered private equity firm LBO France’s Digital Health 2 (DH2) fund through its Orange Digital Investment vehicle. DH2 has a €200m ($238m) target for its close and is tasked with investing in small-to-medium sized businesses in the digital health sector. Its target areas are France and the rest of Western Europe.

Exits

Metromile is the latest company to take the SPAC route to a public markets listing, agreeing a reverse merger with Insu Acquisition Corp. II in a deal set to value the merged business at about $1.3bn. Like Hippo, Metromile is part of a new breed of digital insurers, though its selling point is as an automotive insurance provider that charges by the mile. Its investors include China Pacific, AmTrust, Tokio Marine, Mitsui and Intact Financial.

Amazon has been one of the companies in the tech space that’s benefited most financially from the coronavirus lockdowns, but other online marketplaces are also seeing their business models vindicated. Russia-based Ozon has floated above its range in an upsized initial public offering in the US that netted it $990m, in addition to $135m in a private placement from existing backers Sistema and Baring Vostok. Sistema remains its largest shareholder, with a 37% stake post-IPO.

Covid-19 may have taken the headlines but cancer has been the main driver of corporate venturing activity in the healthcare sector of late. China-based Antengene is the latest oncology-focused company to move to the exit stage, and has gone public in Hong Kong in a $360m IPO in which it floated at the top of its range. It had raised $238m across three rounds from investors including WuXi AppTec’s Corporate Venture Fund, Celgene, Taikang and Tigermed Investment.

Mass spectrometry device producer 908 Devices has filed to go public, setting a $75m target for an initial public offering slated to take place on the Nasdaq Global Market. The company has raised $70m in venture funding from investors including Saudi Aramco Energy Ventures (SAEV) and Schlumberger and has doubled revenue this year while significantly cutting losses. Just a reminder: Airbnb, Roblox and Wish are among the companies that could theoretically float in what’s sure to be a busy December.


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

12 March 2018 – Magic Leap Increases Series D to $963m

Deals

In last week’s Big Deal on GCV, news editor Robert Lavine looked at DoorDash, which just got its first corporate investment in a $535m series D round led by SoftBank, almost doubling its valuation in roughly two years.

Augmented reality technology developer Magic Leap has to be one of the most well-funded companies to have never released a product. It has increased its series D round to $963m with $461m from investors including Saudi Arabia’s Public Investment Fund, which put up $400m, and Axel Springer Digital Ventures.

Elsewhere in online entertainment, game livestreaming has been one of the biggest growth areas in the past year or two, as more companies look to follow Twitch’s lead. China-based Douyu, which has some 30 million daily active users, has secured $630m from Tencent, which has backed it since a $100m series B round two years ago.

Internet company Tencent has agreed to provide approximately $462m in series B funding for Huya, a China-based live game streaming spinout from social media platform Huya.

BBVA has led a $207m round for Atom Bank, the UK-based creator of a mobile-only bank with no physical branches.

Zomato has confirmed reports last month stating that Alibaba’s financial services affiliate Ant Financial had invested $200m.

Credit assessment technology provider Wecash has closed a $160m series D round that was co-led by e-commerce firm Sea and a subsidiary of financial services firm Orix.

UiPath, a developer of software bots that automate mundane enterprise tasks, has raised $135m from investors including CapitalG in a series B round that valued it at $1.1bn.

yKujiale, a China-based virtual reality platform for interior design, has raised $100m in a series D round that included Hearst Ventures, the corporate venturing arm of media group Hearst.

On GUV, TauRx Pharmaceuticals, a Singapore-based Alzheimer’s disease treatment developer spun out from University of Aberdeen, has revealed it secured $71m through a rights issue in October 2017.

Funds

Cisco Investments, the corporate venturing arm of networking equipment manufacturer Cisco, has committed an undisclosed amount to venture capital firm IDG Ventures India’s third fund.

Japan-headquartered automotive component maker Aisin Group launched a $50m US-based investment fund on Tuesday in partnership with venture capital firm Fenox Venture Capital. Fenox will manage the fund, with CEO Anis Uzzaman taking a general partner position.

On GUV, University of Montana has become the sole institutional limited partner (LP) in VC firm Next Frontier Capital’s second fund, a $38m vehicle that aims to support high-value Montana industries.

Exits

Kensho, an AI data platform based on research at Harvard University and MIT, has meanwhile agreed to an acquisition by one of its investors, S&P Global, for approximately $550m in cash and stock.

Blibli began life as a comics, anime and gaming-themed online community in China, but has grown rapidly off the back of an anime streaming platform that has licensed more titles than any other in the country.

Hua Medicine, a diabetes treatment developer backed by pharmaceutical company WuXi PharmaTech, also intends to raise upwards of $400m in an initial public offering.

Genetic disease therapy developer Homology Medicines has filed to raise up to $100m in an initial public offering that will support the progress of two drug candidates through preclinical trials.

Immuno-oncology drug developer Unum Therapeutics last raised funding in a $65m series B round in 2015, but it’s filed to raise up to $86.3m in an initial public offering.

Go-Jek is still in the process of raising funds for a round it expects to close at $1.5bn, at a $5bn valuation, but company president Andre Soelistyo has met with the Indonesia Stock Exchange to discuss a possible IPO.


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

29 January 2018 – Ping An Insurance On a Roll

Deals

Ping An Insurance is on a roll. At the end of November, the insurance provider was gearing up for a $1bn IPO of Ping An Good Doctor, and now it has raised nearly $1bn for its medical data collection and analysis subsidiary Ping An Healthcare Management at a $8.8bn valuation.

Tencent continues to go from strength to strength in its corporate venturing activities, and is set to lead a $1bn round for Kuaishou, a photo and video sharing app that’s now become one of the key players in China’s livestreaming sector.

Mobike, the bike-sharing company, has raised $1bn in its latest funding round, according to press reports.

Another company that’s growing at a rapid pace is Katerra, the creator of an end-to-end construction services business. It was only founded around three years ago but has just raised $865m in a series D round led by SoftBank Vision Fund that valued it at a little over $3bn.

Orix has provided $60m of a $70m extension to peer-to-peer lending platform Dianrong’s series D round, which has been increased to $290m.

Snowflake Computing, a cloud data storage technology developer, has raised $263m in series E funding at a pre-money valuation of $1.5bn. Capital One Growth Ventures, which previously backed a $105m series D round in September 2017, returned for the round co-led by Sequoia, Iconiq Capital and Altimeter Capital.

Maxi Mobility, the on-demand ride provider that oversees Cabify and EasyTaxi in Iberia and Latin America, has raised $160m in a Rakuten Ventures-backed round that values it at $1.4bn.

Ring, the maker of a smart doorbell video system, is raising $160m at a valuation of nearly $1bn, according to a securities filing. The company most recently closed a $109m debt and equity round a year ago, with backers including mobile semiconductor producer Qualcomm, insurance firm American Family and real estate firm JF Shea and other prominent investors, such as Richard Branson.

Canada Pension Plan Investment Board has paid $144m for a 6.3% stake in Indian renewable energy developer ReNew Power, valuing it at almost $2.3bn.

Immunotherapy developer Tmunity Therapeutics, a spinout from University of Pennsylvania, has closed a $100m series A round that added Gilead Sciences, Ping An, Ventures and Be The Match BioTherapies to existing backers including Lilly Asia Ventures as well as Penn itself.

Stem, a producer of scalable energy storage systems, has raised $80m from Activate Capital, Temasek and another Canadian pension investor, Ontario Teachers’ Pension Plan, for the first close of its series D round.

Constellation Technology Ventures has also participated in a $75m round for PrecisionHawk, the developer of a drone control system for enterprises.

Funds

Cybersecurity software provider and internet company Qihoo 360 has formed a $156m venture fund in partnership with Beijing Cultural Center Fund that will invest in internet and media-focused companies.

ING, the Dutch financial services firm, has set its sights on sustainable businesses and launched a $123m fund specifically aimed at startups developing products and services with a positive environmental impact.

Orange, Edenred and JCDecaux meanwhile are recognising Africa as the next big market and have put their weight behind the $70m first close of a $123m fund that is being raised by Partech Ventures.

On GUV, University of Tokyo Edge Capital, a venture capital affiliate of University of Tokyo, has raised an initial ¥15.6bn ($143m) of a ¥25bn spinout-focused investment fund. The capital has been provided by unnamed, domestic financial services firms.

Exits

Figs, a US-based medical apparel producer backed by footwear brand Crocs, has raised $65m from diversified holding company Tulco and will use the capital to buy out existing investors, making Tulco the only external investor.

Digital media company Gree has exited Indonesia-based property listings portal UrbanIndo in an acquisition of undisclosed size by real estate portal 99.co. UrbanIndo received an undisclosed amount of seed funding from venture capital firm East Ventures in 2012 before adding an undisclosed sum in a 2013 series A round led by Gree’s corporate venturing unit, Gree Ventures.

Primary Data, a US-based data virtualisation software producer backed by computer technology provider Dell Technologies, is shutting down after failing to attract enough clients.

Home24, a Germany-based online home and living product retailer backed by e-commerce holding group Rocket Internet, is gearing up for an initial public offering.

Entertainment company Modern Times Group MTG (MTG) secured an exit from France-based media group Trace as TPG Growth, part of private equity group TPG, acquired a majority stake.


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