Date: 2024-09-27 Page is: DBtxt003.php txt00021876
MEDIA HEADLINES
AXIOS PRO RATA
Axios Pro Rata for circa March 10th 2022
AXIOS PRO RATA
Axios Pro Rata for circa March 10th 2022
Original article:
Burgess COMMENTARY
Peter Burgess
Axios Pro Rata
Dan Primack
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Top of the Morning
Illustration of a golden coin with an emboss of the Earth on it.
Illustration: Aïda Amer/Axios
When European private equity firm EQT went public in 2019, one of its top goals was to grow its small Asia footprint. Today it landed a size-15 boot.
Driving the news: EQT has agreed to buy Baring Private Equity Asia for around $7.5 billion in stock and cash.
BPEA has €17.7 billion in assets under management, 10 regional offices and 236 employees. It also recently held a first close on its eighth flagship fund, which could end up raising more than $10 billion.
CEO Jean Eric Salata will continue leading the team after the deal closes in Q4.
Why it matters: EQT says this makes it the world's third-largest private manager focused on active ownership (i.e., excluding credit), behind Blackstone and KKR.
The firm has been on an acquisition spree, having last year expanded its U.S. real estate investing business via the purchase of Exeter Property Group and its European life sciences investing business via the purchase of LSP.
Backstory: EQT CEO Christian Sinding tells me that discussions between the two firms began last fall, after Hong Kong-based BPEA began prepping for an IPO. The two sides first met for dinner at a restaurant in Italy, which stretched out for six hours.
'We kept discussing discussing how much better it could be to be together rather than going it alone,' says Sinding, who adds the deal wouldn't have been possible for EQT were it still privately held.
For EQT, this is both about sourcing new deals and new LPs.
'The private equity market in Asia is growing twice as fast as it is in the rest of the world, but it’s underpenetrated in terms of large, scaled players,' Sinding says.
He also brushed aside concerns about possible geopolitical fallout were there to be a new development with China, such as official support for Russia's war or an invasion of Taiwan, saying BPEA has been careful not to concentrate its portfolio in any one country.
For BPEA, it's about partner liquidity and getting access to EQT's vast infrastructure, including its 'Motherbrain' AI platform.
The bottom line: Expect more private equity consolidation, as firms seek to scale inorganically.
The BFD Photo collage of a shield and money. Illustration: Aïda Amer/Axios
Shield Capital, a new VC firm focused on dual-use national security startups, raised $125 million for its debut fund.
Why it's the BFD: Timing is everything. Tech's antipathy toward defense and military applications was waning even before the Russia-Ukraine war, in part thanks to the change in White House occupant, and that abatement should now move even quicker.
Details: Shield's co-founders are Raj Shah, who led DoD's Defense Innovation Unit (DIU) in both the Obama and Trump administrations, and Philip Bilden, a former HarbourVest partner who Trump nominated to serve as U.S. Navy secretary (he later withdrew due to financial divestiture requirements).
Shah spent part of yesterday at the Pentagon, where he's serving on a Congressionally instructed commission to reform the entire DoD budget.
The firm's advisory board includes former DoD Secretary Ash Carter and former national security adviser H.R. McMaster.
The bottom line: 'Bilden and Shah began planning for Shield Capital in 2015, originally focusing their seed investments on cybersecurity. In 2016, Shah went to lead DIU, where he worked to leverage commercial technology to address national security needs and help non-traditional companies work with the government. That experience helped shape Shield’s investment strategy and after Shah left, he and Bilden decided to institutionalize their investments and create a fund.' — Courtney Albon, DefenseNews
Venture Capital Deals
- • ConsenSys, a New York-based Ethereum infrastructure startup, raised $450m at a $7b valuation. Parafi Capital led, and was joined by Temasek and SoftBank. http://axios.link/UAao
- • Aptos, a Palo Alto-based blockchain startup from some of Meta's old crypto team, raised $200m. Andreessen Horowitz led, and was joined by Tiger Global, Katie Haun's new firm, Multicoin Capital, 3 Arrows Capital, FTX Ventures and Coinbase Ventures. http://axios.link/lume
- • Wasoko (fka Sokowatch), a Kenyan e-commerce inventory platform, raised $125m in Series B funding co-led by Tiger Global and Avemir Growth Capital. http://axios.link/Dgxp
- • Talent.com, a Montreal-based job search portal, raised C$120m in Series B funding. Inovia Capital led, and was joined by CDPQ, Investissement Québec, Climb Ventures, BDC Capital, Fondaction and HarbourVest Partners. It also secured $30m in new debt financing. http://axios.link/wITi
- • Linktree, an Australian startup best known for its 'link-in-bio' tool, has raised US$110m at a $1.3b valuation. Index Ventures and Coatue co-led, and were joined by AirTree Ventures, Insight Partners and Greenoaks. http://axios.link/2if7
- • Hex Trust, a Hong Kong-based provider of digital asset custody services, raised $88m in Series B funding. Animoca Brands and Liberty City Ventures co-led, and were joined by Ripple, Terra, Morgan Creek and Primavera Venture Partners. http://axios.link/H11c
- • Bear Robotics, a SoftBank-backed developer of food-delivery robots, raised $81m in Series B funding from firms like Cleveland Avenue. http://axios.link/cVxA
- • Run.ai, an Israeli AI optimization startup, raised $75m in Series C funding. Tiger Global and Insight Partners co-led, and were joined by TLV Partners and S Capital VC. http://axios.link/AiUN
- • Bobbie, an S.F.-based organic infant formula startup, raised $50m in Series B funding. Park West led, and was joined by insiders VMG and NextView. http://axios.link/WeiK
- • Perlego, a London-based online textbook subscription service, raised $50m in Series B funding. Mediahuis Ventures led, and was joined by Raine Ventures and Evli Growth Partners. www.perlego.com
- • Multiplier, an Indian remote work payment startup, raised $60m in Series B funding at a $400m valuation co-led by Tiger Global and Sequoia Capital India. http://axios.link/7lyT
- • Silent Eight, a Singapore-based compliance platform for financial institutions, raised $40m in Series B funding. TYH Ventures led and was joined by HSBC Ventures and Wavemakers Partners. http://axios.link/DoNp
- • EarnUp, an S.F.-based fintech serving the mortgage industry, raised $31m in Series C funding from LendingTree, KeyBank, Bain Capital Ventures, SignalFire, Blumberg Capital and Flourish Ventures. http://axios.link/RIO0
- • Moonshot Brands, an Oakland-based e-commerce aggregator, raised $30m in equity. Anthemis led, and was joined by YC and Garage Capital. The company also secured a $150m credit facility. http://axios.link/WYWY
- • Selector, a Santa Clara, Calif.-based network monitoring and analytics startup, raised $28m in Series A funding from Two Bear Capital, SineWave Ventures, Atlantic Bridge, Comcast Ventures and Azure Capital Partners. http://axios.link/ksOg
- • Rutter, an S.F.-based universal API for e-commerce, raised $27m in Series A funding led by Andreessen Horowitz. http://axios.link/nrCq
- • TruEra, a Redwood City, Calif.-based provider of AI quality management solutions, raised $25m in Series B funding. Menlo Ventures led, and was joined by Greylock, Wing VC, Harpoon Ventures, Conversion Capital, Data Community Fund, Forgepoint Capital and B Capital Group. www.truera.com
- • Gauntlet, a startup servicing DAOs and protocols, raised $23.8m in Series B funding at a $1b valuation. Ribbit Capital led, and was joined by the Paradigm and Polychain. http://axios.link/Ncfk
- Quadric, a Burlingame, Calif.-based developer of AI edge chips, raised $21m in Series B funding led by a subsidiary of Denso. Other backers include MegaChips, Leawood VC, Pear VC, Uncork Capital and Cota Capital. http://axios.link/jJJI
- • AcreTrader, a Fayetteville, Ark.-based farmland investing platform, raised $20m in new funding from Drive Capital. www.acretrader.com
- • Shufti Pro, a British identity verification startup, raised $20m in Series A funding led by Updata Partners. www.shuftipro.com
- • 4G Capital, a Kenyan digital lender, raised $18.5m in Series C funding from Lightrock. http://axios.link/n0IL
- • Treehouse, an on-chain data startup focused on DeFi investors, raised $18m in seed funding from backers like Lightspeed Venture Partners, Binance, MassMutual Ventures, Mirana Ventures, Global Founders Capital, Jump Capital, GSR and Wintermute. www.treehouse.finance
- • Compete, an Israeli compensation and benefits benchmarking startup, raised $15m in Series A funding. Tiger Global led, and was joined by Aleph and Vine Ventures. www.competewith.com
- • Kinde, an Australian SaaS infrastructure startup, raised A$10.6m in seed funding. Blackbird Ventures led, and was joined by Felicis Ventures. http://axios.link/QRXw
- • FreedomFi, a Boulder, Colo.-based open 5G startup, raised $9.5m in Series A funding from Blueyard Capital, Qualcomm Ventures and SamsungNext. www.freedomfi.com
- • Wagely, an Indonesian earned wage access startup, raised $8.3m. East Ventures led, and was joined by Integra Partners, Asian Development Fund, GFC, Trihill Capital, Blauwpark Partners and 1982 Ventures. http://axios.link/zFuO
- 🚑 OpenLoop, a Des Moines, Iowa-based multispecialty telehealth company, raised $8m in Series A funding. SpringTide Ventures led, and was joined by ManchesterStory, Next Level Ventures, Panoramic Ventures and ISA Ventures. www.openloophealth.com
- • Loveseat, an Austin, Texas-based marketplace for returned goods, raised $7m led by Bessemer Venture Partners. http://axios.link/xjIK
- • Kamino, a Brazilian fintech for Latin American startups, raised $6.1m. Inspired Capital led, and was joined by GFC, QED, Picus Capital, Flourish Ventures, Propel VC, Clocktower Technology Ventures, Norte Ventures, and Gilgamesh Ventures. http://axios.link/P0iS
- • Onuu, an Austin, Texas-based fintech for users of “modest means,” raised $6m in seed funding. Leap Global Partners led, and was joined by Ulu Ventures, SV LATAM Capital, Jumpstarter Ventures, Verso Capital, and Capital Factory Ventures. www.onuu.com
- ⚡ Copper Labs, a Boulder, Colo.-based grid intelligence startup, raised $5.5m in Series A funding. Clean Energy Ventures led, and was joined by National Grid Partners and Blue Bear Capital. www.copperlabs.com
- • Freightpay, an L.A.-based payment platform for global logistics and freight forwarders, raised $2m. Defy.vc led, and was joined by Better Tomorrow Ventures and participation from BAM Ventures, Flexport and Socially Financed. www.freightpay.io
- 🚑 Legion Health, an Austin, Texas-based mental health marketplace, raised $2m in seed funding from YC, UpHonest Capital and Soma Capital. www.legion.health
- • Challenger, a San Diego-based on-demand video game wagering platform, raised an undisclosed amount of funding from SeventySix Capital, Revel and Acies Acquisitions. www.playchallenger.com
- • Blackstone reportedly had unsuccessful talks to invest up to $3b into Singapore-based commodities trader Trafigura, as surging prices have triggered industry-wide margin calls. http://axios.link/rwNr
- • Brookfield Asset Management is among those working with Elliott Associates on its pending takeover bid for Nielsen Holdings (NYSE: NLSN), per Bloomberg. http://axios.link/DibX
- • Crosspoint Capital Partners acquired a 'significant interest' in the parent company of security conference organizer RSA, alongside existing ESA backers Clearlake Capital Group and Symphony Technology Group. http://axios.link/NiMN
- 🚑 Curewell Capital, recently launched by the ex-health team at Pritzker Private Capital, agreed to buy a majority stake in Knoxville, Tenn.-based clinical research firm Alliance for Multispecialty Research, per Axios Pro. http://axios.link/cM3D
- • Odyssey Investment Partners acquired Pexco, an Atlanta-based engineered plastic component supplier, from AEA Investors. www.pexco.com
- • TA Associates acquired a majority stake in Veracode, a Burlington, Mass.-based provider of app security solutions, at a $2.5b valuation from Thoma Bravo (which retains a minority stake). http://axios.link/zcUF
- • Sany Heavy Industry, a Shanghai-listed maker of construction equipment, is prepping a Swiss float. http://axios.link/Oesw
- • More than 70 current and former BuzzFeed employees have sued the media company, alleging that its mismanaged public listing process cost them millions of dollars. Go deeper.
- • Aperture Acquisition, a financials-focused SPAC led by ex-Centerbridge Partners CEO Lance West, withdrew IPO registration. http://axios.link/kcKP
- • CCIF Acquisition, an Asia Pacific SPAC led by Cathay Capital Group CEO Ming-Po Cai, withdrew IPO registration. http://axios.link/T1yv
- • JPMorgan Chase (NYSE: JPM) agreed to buy Global Shares, an Ireland-based provider of software for managing employee stock plans. Sellers include Motive Partners. http://axios.link/BQXg
- • Local Bounti (NYSE: LOCL) agreed to acquire Pete's, a Carpinteria, Calif.-based indoor farming company, for $122.5m in cash and stock. Sellers include True West Capital Partners and Mosaic Capital Partners. http://axios.link/LFly
- • SentinelOne (NYSE: S) agreed to buy Attivo Networks, a Fremont, Calif.-based identity security and lateral movement protection company, for $616.5m in cash and stock. Attivo had raised $56m from firms like Bain Capital Ventures, Forgepoint Capital, Omidyar Network, Singtel Innov8, Energy Impact Partners, Trend Forward Capital and Doorga Capital. http://axios.link/r8tN ..... ⚡ Shell, Adani Group and Greenko are the final bidders for Indian renewable energy firm Sprng, which is being sold by Actis for around $2b, per Bloomberg. http://axios.link/CZYM
- • Vestiaire Collective, a French marketplace for secondhand luxury and fashion items, agreed to buy LA-based rival Tradesy. Vestiaire is valued at more than $1b by firms like Tiger Global, while Tradesy raised around $150m from firms like Kleiner Perkins, Rincon Venture Partners, 500 Global and Bonfire Ventures. http://axios.link/OFIG
- • Amazon (Nasdaq: AMZN) received unconditional EU approval for its $8.5b purchase of film studio MGM. http://axios.link/0yDe
- • Hudson's Bay (TSX: HBC) is among those kicking the tires on Kohl's (NYSE: KSS), the department store chain that's under pressure form activist investors, Axios' Mike Flaherty reports. More in today's Axios Pro Retail Deals newsletter.
- • Impact.com, a partnership management platform, bought Pressboard, a Vancouver-based analytics and reporting platform for branded content that had raised funding from firms like Rhino Ventures. www.pressboardmedia.com
- • Inbrew Beverages of Singapore is the leading bidder to buy a portfolio of Indian brands, including Bagpiper whisky, being sold by Diageo (LSE: DGE) for around $300m, per Bloomberg. http://axios.link/zTRE
- • Mill Road Capital Management disclosed a 5.1% stake in discount retailer Big Lots (NYSE: BIG), which said the investment firm is pushing for a sale process. Shares surged around 15%, giving the company a $1.13b market cap. http://axios.link/TUTU
- • SS&C Technologies (Nasdaq: SSNC) completed its £1.24b takeover of Blue Prism (LSE: PRSM), a British robotic process automation company. BFD flashback.
- 🚑 Frazier Healthcare Partners raised just under $987m for its 11th fund. www.frazierhealthcare.com
- • Värde Partners raised $2b for its 14th flagship fund. http://axios.link/ZPs7
- • Marcelo Ciampolini (ex-Rocket Internet) joined VC firm Antler as a partner and head of a new Brazil office, and Claire Diaz-Ortiz (ex-Magma Partners) joined as an advisor. www.antler.co
- • Lydia Hylton joined Bain Capital Crypto as a partner. She previously was with Redpoint Ventures.
- 🌎 Lisa Schule joined Generate Capital as a managing director. She previously was with Global Environment Fund. www.generatecapital.com
- • Scott Stevens joined Ethos Capital as a principal. He previously was with Pamlico Capital. www.ethoscapital.com
- • Branford Castle promoted Laurence Lederer to managing partner. www.branfordcastle.com
- • Capstone Partners promoted Michael Keaveney and Jeff Walters to partners. www.csplp.com
- • LiveOak Venture Partners promoted Creighton Hicks and Mike Marcantonio to partners. www.liveoakvp.com
- • MidOcean Partners promoted Sara Parker Badham to managing director and partner, and Steven Loeffler to principal. www.midoceanpartners.com
- • Volition Capital promoted Tomy Han to partner and Jim Ferry to principal. www.volitioncapital.com
Data: FactSet; Chart: Baidi Wang/Axios
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Dan Primack
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