20 January 2020 – Joby Aviation Raises $590m in Series C to Create Flying Taxis

The Big Ones

Joby Aviation is developing an electric-powered aerial taxi for urban use, a product that would appear to be a big jump into the future even without taking into account sustainability issues concerning its stated aim to serve ‘a billion’ people a day. But corporate investors are taking it seriously and none more than Toyota which invested $394m to lead its $590m series C round.

UPMC Enterprises functions as the investment and innovation arm of University of Pittsburgh Medical Center (which sounds like it’s just the one but actually it’s a system comprised of 40 hospitals) and has built up an 18-strong portfolio alongside investments in internal projects. It looks to be upgrading its activity as well, announcing plans to allocate $1bn in capital through 2024, $800m of which is newly disclosed and $200m has already been dedicated to an immuno-therapy research partnership with the university.

Visa invested in financial data technology provider Plaid just four months ago and must have liked what it saw because it has agreed to acquire financial data technology provider Plaid in a $5.3bn transaction that what will surely be one of the year’s biggest acquisitions of a VC-backed company.

Deals

Xiaohongshu, the social commerce platform also known as Little Red Book, is resuming fundraising activities and is reportedly seeking $400m to $500m at a $6bn valuation. The company secured $300m in a 2018 series D round featuring Tencent and Alibaba at a $3bn valuation and was exploring new funding last year, only to suspend efforts after its app was temporarily pulled from Chinese app stores.

Tradeshift, a provider of supply chain-management and payment processing software, has raised $240m in debt and equity financing from undisclosed new and existing investors. No word on the former but its existing backers include American Express Ventures, Wipro Ventures, PayPal, Intuit, CreditEase Fintech Investment Fund and HSBC.

EQRx has launched with $200m in series A funding from GV and Nextech and a mission to develop more affordable copies of drugs already on the market. In contrast to licensed biosimilars, the startup will use advanced technology to create its own patent-protected versions, in theory providing more accessible medicines while generating more profit.

Electric vehicle technology developer Arrival has been relatively stealthy since it was founded in 2015 but has disclosed a $112m investment by carmaker Hyundai and subsidiary Kia. The funding came as part of a strategic collaboration through which Arrival will provide technology for Hyundai’s own mobility and EV initiatives.

Emendo Biotherapeutics is developing genetic medicines using a proprietary platform that utilises Crispr gene editing and protein engineering. It has also raised $61m in a series B round led by biopharmaceutical company AnGes, which is developing its own genetic therapies and which plans to work with Emendo on certain indications.

Funds

China-based insurer Taiping, has formed a $1bn investment vehicle called TP-CICC GBA Investment Master Fund in partnership with China International Capital Corporation’s CICC Capital division. The fund will target companies based in China’s Bay Area that are developing technology for the financial, healthcare, consumer and insurance sectors among others.

Saudi Aramco has pumped its IPO up to $29.4bn, making it the largest in history, and the petrochemical producer is also looking to expand its corporate venturing activity. The corporate is reportedly lining up a $500m second fund for its Saudi Aramco Energy Ventures unit that will likely be launched later this year.

IT services firm Wipro launched its Wipro Ventures subsidiary in 2015 with a $100m fund that has so far invested in 16 companies and exited two – one of which was Palo Alto Networks’ $560m acquisition of Demisto. The unit has now announced a second fund with an upgraded size of $150m.

Exits

Teladoc has agreed to buy telehealth technology producer InTouch Health for $150m in cash and $450m in shares. The company had raised less than $100m in funding, $6m of which was supplied by iRobot through a 2012 expansion to a partnership agreement.

Suzhou Zelgen Biopharmaceuticals has priced a $294m initial public offering on the Shanghai Stock Exchange’s Star Market that is impressively sized despite not meeting its initial target of $346m. The cancer therapy developer had raised money across five rounds including a $62m series B two years ago that included insurance firm Minsheng Life.

NGP Capital has exited on-device AI technology developer Xnor.ai in an acquisition by Apple reportedly sized around the $200m mark. NGP Capital was spun off from Nokia but the corporate is still a prominent backer, and the deal will be pulling in some decent returns considering Xnor had disclosed less than $15m in funding pre-acquisition.

Casper Sleep, one of a wave of high-end mattress developers to launch in recent years, has filed to go public having raised $340m in venture funding from investors including Target. It is set to beat corporate-backed competitors like Helix and Eve Sleep to the public markets, though it’s as yet unclear whether the $67m loss it suffered in the first nine months of 2019 will affect its valuation, which stood at $1.1bn as of last March.


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

08 July 2019 – India-based ReNew Power Exploring IPO

The Big Ones

Chinese social commerce platform Xiaohongshu was valued at more than $3bn when it last raised money a year ago, and has reportedly now entered talks with prospective investors including SoftBank’s Vision Fund for a series E round with a $500m target.

E.ventures has been one of Germany’s most successful venture capital investors of late, celebrating a series of high-profile exits in the past year. It has also received backing from a slate of corporates for two new funds: a $225m US fund and a $175m entity that will focus on Europe.

The We Company’s funding may have reached stratospheric heights but that doesn’t mean it’s having things all its way internationally. Ucommune is probably its biggest competitor in the shared workplace sector in China, and it is reportedly preparing for an initial public offering in the US in which it would look to raise $200m.

Deals

Indian renewable power producer ReNew Power was said last year to be exploring an initial public offering, and though it is yet to float it has no trouble raising money.

Indian ride hailing platform Ola established a spinoff called Ola Electric Mobility around Easter this year, with $56m of series A funding from external investors. Ola Electric, which was launched to promote electric vehicle infrastructure, isn’t sitting on its laurels either.

Century Therapeutics has also raised $250m, in a series A round announced as it emerged from stealth yesterday. Bayer’s open innovation arm, Leaps by Bayer, invested $215m to lead the round, which also featured FujiFilm subsidiary and Century strategic partner Fujifilm Cellular Dynamics, and founding investor Versant Ventures.

Vision Fund also led a $200m series C round for data centre technology provider Fungible that included Norwest Venture Partners. The round took Fungible’s overall funding to $300m, its earlier investors including Juniper Networks and Samsung Catalyst Fund, and the proceeds will go to product development, sales and marketing.

Times Internet paid $140m for a majority stake in mobile video player MX Player before converting it into an online media streaming platform. It now looks like other corporate investors are primed to come on board, with news that Tencent and Paytm are in talks to provide between $100m and $125m for the company, which has more than 30 million registered users.

Japan-based Tier IV, a developer of open-source autonomous driving software, has raised one of the year’s biggest series A rounds, taking $105m in a round led by Sompo Japan Nipponkoa.

The solar energy technology sector may be a fair distance off its heights near the turn of the decade, but that doesn’t mean it’s dead. Oxford PV, which is developing perovskite-equipped solar cells based on research at University of Oxford, has closed its series D round at $81.8m, adding a second tranche that included the investment made by Meyer Burger in March that gave it an 18% stake.

Tencent has led a $36.3m series C round for Synyi, a Chinese company that utilises technologies like natural language processing, machine learning and data mining to extract raw data from medical texts.

Electric scooter rental platform Dott has sealed a $33.9m series A round that was co-led by Naspers Ventures, and which included Axel Springer Digital Ventures.

Funds

Ahren Innovation Capital, a UK-based investment firm co-founded by eight scientists from the Cambridge, UK ecosystem, has closed its inaugural vehicle at more than £200m ($250m) with LPs including Unilever, Sky, Aviva as well as the eight co-founders.

UK-based charity Cancer Research UK has announced a $250m commercialisation fund in partnership with venture capital firm SV Health Investors to accelerate the translation of cancer research.

Sony has joined a subsidiary of brokerage Daiwa Securities to launch an investment fund with a $185m target for its final close. Innovation Growth Ventures, which will function as an extension of Sony’s existing Innovation Fund, has already reached the first close of the fund, and its LPs include Mitsubishi UFJ Lease & Finance Company, Sumitomo Mitsui Banking Corporation and Osaka Shoko Shinkin Bank.

Exits

Health Catalyst has filed to raise up to $100m in an initial public offering that would provide exits for UPMC Enterprises, Kaiser Permanente Ventures, MultiCare Health System, OSF Healthcare, Partners HealthCare and CHV Capital.

US-based integrin drug developer Morphic Holding, which emerged out of research at Harvard University’s Medical School, has closed its initial public offering at approximately $104m.

Codiak Biosciences, a US-based exosome therapeutics developer backed by life science real estate investment trust Alexandria Real Estate Equities, meanwhile withdrew its plans for an $86.3m initial public offering.


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