| | In today's Daily Pitch, you'll find: - Our Q2 Emerging Tech Research on agtech, which dives deep into the thriving industry's recent activity.
- Logistics company Transfix is going public via a SPAC sponsored by existing investor G Squared.
- SoftBank has led a $680 million Series B for Sorare, valuing the French fantasy soccer specialist at $4.3 billion.
| | | | | | | | | | Agtech fundraising continues its upward growth in Q2 | |  | | (phuttaphat tipsana/Getty Images) | | | The pandemic caused a surge in funding for agtech startups addressing vulnerabilities in supply chains. Now extreme weather events are highlighting new challenges and driving investment in soil sensors, weather prediction services and aerial imagery that help growers mitigate the effects of climate change.
Our Q2 installment of Emerging Tech Research on agtech includes spotlights on private companies such as Benson Hill, Semios and CropX. The report also tracks major industry trends, covering funding records, exits, and developments in areas like insect farming and agriculture drones. | | | | | | | | | | Logistics specialist Transfix to go public via SPAC | |  | | (Jung Getty/Getty Images) | | | Transfix, an online platform that connects freight shippers with truck drivers, has agreed to go public via SPAC at an enterprise valuation of $1.1 billion. The blank-check company is sponsored by G Squared, a late-stage firm and primaries and secondaries investor that had previously backed the New York-based logistics specialist. - G Squared managing partner Larry Aschebrook told PitchBook earlier this year that the firm intended to take a portfolio company public via its SPAC.
- G Squared is one of a number of venture firms that have formed blank-check companies with the goal of targeting an existing investment. While this may seem like a conflict of interest, these deals are not prohibited if specific guidelines are met.
- SPAC deals where a firm is involved on both sides of the transaction have the potential to be very lucrative because the proceeds from selling the private company and the "promote" for managing the SPAC are both realized by the firm.
- The first such transaction to be cleared by regulators was SmartRent, which went public last month via a SPAC sponsored by Fifth Wall, a property tech-focused VC firm that had previously invested in the company via one of its funds.
| | | | | | | | | | | | Boston's VC ecosystem is thriving | | Boston's VC ecosystem is often grouped with Silicon Valley's, but the two could not be more different. Boston, home to world-class universities like Harvard and MIT, is fueled by life sciences. Since 2007, pharma and biotech startups have raised more capital than their software counterparts every year, sometimes by a 3-to-1 margin.
But Boston's tech scene is a juggernaut in its own right. In partnership with PitchBook Data, BridgeBank has released Markets to Watch: Boston, which also details the city's thriving tech scene. Boston's software startups are predominantly B2B-related, including hundreds of cybersecurity, network management and AI-powered software companies.
In fact, Boston is already enjoying a record year for venture capital, having surpassed the old record by August 2021. Read the report to find out why.
To download the report, click here. | | | | | | | | | | Fantasy soccer startup Sorare hits $4.3B valuation | |  | | (Courtesy of Sorare) | | | SoftBank has led a $680 million Series B for Sorare, valuing the French fantasy soccer specialist at $4.3 billion. It's the largest-ever Series B in Europe, according to reports. - Sorare offers a blockchain-based platform to let users trade digital sports cards. With the new funding, the startup plans to team up with the top 20 soccer leagues worldwide and expand to include other sports.
- The round is the second-largest deal in VC gaming this year, behind Epic Games' $1 billion funding round in April. Sorare has 600,000 registered users on its platform and has licensed players from over 180 soccer organizations.
- Atomico, D1 Capital, Eurazeo and other backers participated in the round, as did existing investors Benchmark, Accel and Headline.
| | | | | | | | | | PE rethinks sports investing strategy after fans, teams cry foul | |  | | In August, CVC Capital Partners agreed in principle to acquire a minority stake in Spain's La Liga soccer league, but not every team is happy about it. (Aitor Alcalde/Getty Images) | | | Private equity's push into professional sports investing initially appeared to be a slam dunk. But investors have recently faced increasing pushback from players and fans as they attempt to establish themselves in the elite world of pro sports team and league ownership. - In August, Real Madrid filed suit against CVC Capital Partners and Spain's La Liga after the firm struck a deal to acquire a 10% stake in the league's commercial activities for around €2.7 billion (about $3.2 billion).
- The All Blacks rugby team and New Zealand Rugby Players Association have voiced opposition to a deal that would see Silver Lake buy a minority stake in the league.
- With the PE industry becoming more active in fighting a negative public perception, executives must now ask whether pursuing professional sports investments is worth the possible backlash.
| | | | | | | | | | Why are investment firms scooping up life insurers as well-established companies leave the industry in droves? Here's the history. [The Wall Street Journal]
With "no technology and no experience," Chinese real estate developers are being forced to enter other markets in the face of high costs and low profits for builders. [Fortune]
In big steps for accessible footwear, Nike designers have made it halfway to a completely hands-free shoe. [Bloomberg] | | | | | | | | | | | Since yesterday, the PitchBook Platform added: | | 408 Deals | 1741 People | 513 Companies | 18 Funds | | | | | | | | | | | | | | | | | | | | 2013 Vintage Global PE Funds with $250M-$500M | | | | | | | | | | | | | One Rock Capital taps new general counsel and CCO | | | One Rock Capital Partners has named Fola Adamolekun as general counsel and chief compliance officer, based in New York. Adamolekun joins the firm from JP Morgan's asset and wealth management unit, where she served as an executive director and deputy general counsel of global alternatives. | | | | | | | | Warburg Pincus appoints senior adviser in tech group | | | Warburg Pincus has announced the appointment of Brian Duffy as a senior adviser in the firm's technology group, where he will work with portfolio companies to accelerate innovation and identify investment opportunities in the global tech industry. Duffy is currently the president of cloud at German software company SAP, where he previously served as president of Northern Europe, among other roles. | | | | | | | | Clear Ventures brings on Vijay Reddy | | | Bay Area-based Clear Ventures has brought on Vijay Reddy as a new partner. Reddy was formerly a partner at Intel Capital, where he led investments in AI, big data analytics and cloud-to-edge tech companies. Clear Ventures typically backs early-stage enterprise IT companies with investments of up to $4 million. | | | | | | | | | | | | Hydrow reveals backing from celebrities including Aaron Rodgers, Justin Timberlake | | | | | | | | | | | | | | | | Nomad Health secures $63M in debt and equity | | | Nomad Health has raised $63 million in a round led by Adams Street Partners. The company offers a recruitment platform to connect clinicians and hospitals with healthcare staff. Founded in 2015 and based in New York, Nomad Health was valued at $90.3 million in 2019, according to PitchBook data. | | | | | | | | Robotic strawberry picking startup harvests $25M | | | Advanced Farm Technologies has raised a $25 million Series B led by Catapult Ventures. The Davis, Calif.-based company is a developer of robotic technology that helps farmers harvest, sort and pack strawberries. The new funds will be used to adapt the startup's tech for apple harvesting. | | | | | | | | Xealth raises $24M in Series B deal | | | | | | | | | Stairwell lands $20M Series A for cybersecurity platform | | | Stairwell has raised $20 million in a round co-led by Sequoia and Accel. The Bay Area-based company has also unveiled its flagship product, Inception, which is intended to help companies quickly detect and manage cybersecurity threats. Stairwell raised a $4.5 million seed round last year. | | | | | | | | | | | | Apollo bids $8B for TV station owner Tegna | | | Apollo Global Management and hedge fund Standard General have bid $8 billion to take over TV station owner Tegna, as first reported by The New York Post. Tegna was spun off from newspaper publisher Gannett in 2015 as a separate company, and currently runs more than 60 television channels and two radio stations across more than 50 US markets. | | | | | | | | Ecommerce software company hits $1B+ valuation with Advent investment | | | Assembly has raised new funding from Advent International, valuing the ecommerce software and data platform creator at more than $1 billion. Founded in 2019, the company provides educational content and market insights in addition to helping brands track and optimize marketplace performance, social performance and more. Previous investor Providence Strategic Growth also participated in the latest deal. | | | | | | | | Ardian stakes Florida Food Products | | | Ardian has purchased a majority stake in Florida Food Products from MidOcean Partners in a deal that gives the company an enterprise value of more than $1 billion. MidOcean has backed FFP since 2018 and will retain a significant interest in the company. Founded in 1954, FFP is a manufacturer of food protection ingredients, vegetable juice concentrates and derivatives used globally in beverages, sports nutrition, meats and other food products. | | | | | | | | Trilantic ties up Quickparts takeover | | | Middle-market firm Trilantic North America has completed its acquisition of 3D Systems' on-demand 3D printing and custom manufacturing business. The unit, which will operate as Quickparts, has a fleet of over 150 in-house printers in five locations across North America and Europe, as well as a global network of manufacturing partners. The company serves customers in sectors like entertainment, aerospace and automotive. | | | | | | | | Audax lands healthcare equipment mounting manufacturer | | | Audax Group has acquired GCX Mounting Solutions, a designer and manufacturer of healthcare-focused equipment mounting and mobility solutions, including branded-arms, carts and roll stands. Based in Petaluma, Calif., GCX currently employs over 330 people and has offices in North America, Europe, Japan and Taiwan. | | | | | | | | | | | | PE-backed Olaplex targeting $10B+ valuation in upcoming IPO | | | Hair-care product company Olaplex has established plans to offer 67 million shares for between $14 and $16 apiece in its IPO on the Nasdaq, potentially valuing it at over $10 billion. The Santa Barbara, Calif.-based company would raise over $1 billion at the midpoint of the range. Advent International acquired Olaplex in January 2020. | | | | | | | | Salt Creek Capital offloads dental equipment maker Boyd Industries | | | Salt Creek Capital has sold dental equipment manufacturer Boyd Industries to the company's CEO Adrian LaTrace. Salt Creek originally partnered with LaTrace to buy the company in 2012. Founded in 1957, Boyd designs and manufactures operatory equipment, patient chairs, clinical cabinetry and more. | | | | | | | | Vista-backed Allvue sets terms for public debut | | | Vista Equity Partners-backed Allvue Systems has revealed plans to offer 15.3 million shares priced at between $17 and $19 apiece in its IPO on the NYSE. The Florida-based company would raise over $275 million at the midpoint of the range. Allvue, which was formed in 2019 via the merger of Black Mountain and AltaReturn, is a provider of investment management software for fund managers, investors and administrators in the alternative investments sector. | | | | | | | | | | Liberty Strategic Capital raises $2.5B for debut fund | | | Liberty Strategic Capital, a firm founded by former Treasury Secretary Steven Mnuchin, has raised around $2.5 billion for its debut fund, Bloomberg reported. The fund will focus on investments in the technology, fintech, cybersecurity and financial services sectors. | | | | | | | | Greylock raises $500M for seed stage | | | Greylock Partners has raised a pool of $500 million for investing in seed-stage startups, The Information reported. The new capital expands the firm's 16th flagship fund from $1.1 billion, raised last year, to $1.6 billion. Historically, Greylock invested in Series A and B companies, but current market conditions, including competition from cross-over investors such as Tiger Global, are forcing some prominent VC firms to start investing earlier in startups' lifecycles. | | | | | | | | Blue Bear Capital closes $150M fund | | | | | | | | | | | US Bancorp inks $8B deal for MUFG's US unit | | | Mitsubishi UFJ Financial Group (MUFG) has agreed to the $8 billion sale of its US retail banking business, MUFG Union Bank, to US Bancorp, Reuters reported. The deal includes $5.5 billion in cash and $2.5 billion in shares, which will give MUFG a 2.9% stake in Minnesota-based US Bancorp. The deal is expected to close by the end of Q2 2022. | | | | | | | | | | | | | | | | | | | | | | Who's in the newsletter today? | | People | | | | Investors | | | | Companies | | | | Limited Partners | | | | | | | | | |
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