Market Insights

Market Whiplash and Unfazed Investors: Friday Dealbook for 8/16/2019

August 16, 2019

This week was marked by conflicting signals and wildly fluctuating markets: the Dow had its worst day yet of 2019 on Wednesday, while the 10-year and 2-year Treasury bond yield curve inverted (again). This didn’t faze investors, as Clumio snagged $51 million and Scoop “scooped” $60 million. As mentioned last week, this level of investment for summer months is rather uncommon and demonstrates continued opportunity for growth within various segments of the tech industry despite acute market volatility.

 

The Top Deals Covered by OWI this Week

 

Clumio \ clumio.com \ Founded in 2017

Developer of a secure, backup as a service platform that consolidates the protection of an enterprise data center and any remote sites with no hardware or software to size, configure, manage – or even buy at all. As enterprises move aggressively to cloud, they can use Clumio to protect workloads like VMware Cloud on AWS and native AWS services.

The company announced $51 million in funding received over two rounds: Sutter Hill Ventures-led Series A round and a Series B round driven by Index Ventures with significant participation from Sutter Hill Ventures. Several individuals experienced at investing in disruptive technologies also participated including, Mark Leslie, founder of Veritas Technologies, and John Thompson, chairman of the board at Microsoft.

 

Scoop \ takescoop.com \ Founded in 2015

Provider of mobile-based carpooling services intended to help users share a commute with nearby coworkers and neighbors. The company’s carpooling application offers a separate morning and evening schedule automatically in a custom carpool, identifies trips based on the fastest route, nearby carpoolers, lanes and more, enabling daily commuters to save their commuting cost while enjoying a convenient way to carpool.

Scoop announced Wednesday that it’s raised $60 million in funding led by Activate Capital, with participation from new investors NGP Capital, Total Group, and BNP Capital and returning investors Index Ventures, Signia Venture Partners, Workday Ventures, and G2VP. The capital infusion comes after a $20 million series B in November 2017 and a $10.6 million series A in November 2017, and it brings Scoop’s total raised to over $106 million.

 

Polarity polarity.io \ Founded in 2014

Developer of a memory augmentation platform designed to empower users with the capabilities of a machine. The company’s platform analyzes everything on a PC screen and uses computer vision to recognize it in real-time, enabling organizations to overlay relevant contextual data in a hassle free manner.

The company raised $8.1 million of Series AA venture funding in a deal led by TechOperators on August 12, 2019, putting the company’s pre-money valuation at $24.3 million. Kaiser Permanente Ventures, Strategic Cyber Ventures, Shasta Ventures, and Gula Tech Adventures also participated in the round. The company intends to use the funds to continue to expand operations and its business reach.

 

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Investor Highlight

 

TechOperators \ techoperators.com \ Founded in 2008

Description of Investor

TechOperators is a venture capital firm that was founded in 2008 and is based in Atlanta, Georgia. The firm focuses on investing in companies operating in the software, technology, internet services, cloud computing, security, infrastructure and mobile computing sectors in the Southeastern United States.

Active Portfolio – 14

Investments (TTM) – 5

Med. Round Amount – $6.15M 

Med. Valuation – $26.44M

# of Exits – 9

Deal History

In the past year, TechOperator has invested in the following 4 identity companies:

Polarity

Scytale.io

Ionic Security

Springbot

 

*Source: PitchBook Data Inc. with proprietary keyword searches set by OWI Analysts