Key deals of the week (November 2-8)
Small deals (up to $ 15 million)
· November 2, 2020. Warren, a startup that helps small cloud infrastructure providers compete with Amazon, Microsoft, IBM, Google and others, has raised $ 1.4 million in a seed round from Passion Capital, Lemonade Stand and others. Many people choose smaller cloud infrastructure providers because they give more control over their data and offer a more personalized experience. Warren offers a platform to help these small vendors improve customer experience (simplified integration, maintenance, etc.). Warren's clients include Pilw.io and IdCloudHost.
· November 3, 2020. Indonesian logistics startup Logisly raised $ 6 million from Monk's Hill Ventures and others. The Logisly platform simplifies the process of ordering, managing and tracking trucks. Logisly first validates carriers before adding them to the platform. The company then connects customers with shipping companies using a supply-demand aggregation algorithm. Logisly works with 1,000 companies in Indonesia, including Unilever, Haier, Grab, Maersk and JD.ID. Startup Logisly was founded in 2019. The total amount of attracted investments of the company is $ 7 million.
· November 5, 2020. Osome fintech startup, launched by Viktor Lysenko, co-founder of Rocketbank, raised $ 3 million to develop a product in the markets of Singapore, Hong Kong and the UK. Funds XA Network and AltaIR Capital invested in the startup. Osome is an online assistant for entrepreneurs. He helps to register a business, keep accounting, make payments, prepare reports, as well as draw up and sign documents with an electronic signature. Now the service is used by more than 4 thousand entrepreneurs from Singapore, India, Indonesia, Malaysia, Australia, the USA, France, Great Britain and Russia.
· November 5, 2020. The Internet Initiatives Development Fund, YellowRockets Fund and others have invested a total of $ 470 thousand in the Fantasy Invest application, a stock market simulator game. Fantasy Invest explains in a playful way the basic rules of the stock market. The player collects a virtual portfolio of stocks of real companies and receives prizes for achievements. The user can exchange game currency for prizes - subscription to popular services, headphones, and more. The application is monetized using game currency, which a player can buy and use it to open access to companies. Fantasy Invest will use the raised funds to develop in the US and Indian markets.
· November 5, 2020. Juggle, a startup developing a platform for finding "flexible" jobs, has raised $ 2.1 million from Oxford Capital, Social Capital, 7percent Ventures and others. On the platform, you can find remote work, part-time work or joint work. Juggle offers companies a smart employee search engine and paperwork tools for such employees. Juggle's clients include Reallife Tech, Hopster, Hubble and White-Hat. Juggle startup was founded in 2017.
· November 6, 2020. Service for the withdrawal of suppliers to marketplaces Upmarket announced the consent of the OKS Group investment holding to invest 170 million rubles by mid-2021. in exchange for 31% Upmarket. Upmarket helps suppliers to enter marketplaces - it takes over logistics (the company has its own warehouse in St. Petersburg), content creation and marketing strategy. The startup has its own photography studio where product images are created. The service also comes up with product descriptions and sends them to marketplaces for moderation. Upmarket works with Wildberries, Ozon, Beru and others. Upmarket company was founded in 2018. The startup earns on commissions or one-time payments for training a supplier in the amount of 30 thousand rubles (as of July 2019).
Medium deals (from $ 15 million to $ 75 million)
· November 2, 2020. Mail.ru Group has closed a deal to sell the map service Maps.me. The deal amounted to RUB 1.56 billion. The buyer was Daegu Limited, a subsidiary of Parity.com Group. Mail.ru Group acquired Maps.me in 2014 for 542 million rubles. In 2019, the service's revenue amounted to 159 million rubles, and the EBITDA loss was 25 million rubles. Maps.me company was founded in 2010. Its original name is MapsWithMe.
November 2, 2020. British startup Marshmallow, which develops technology for risk assessment in insurance, has raised $ 30 million from Outrun Ventures and others for an estimated $ 310 million. Marshmallow uses a wide range of analytics, as well as a simple mobile and web interface for risk assessment and issuance insurance policies for those people who, under normal circumstances, are less likely to get a policy.
The original target audience was expats. The logic was that British insurance companies, as a rule, estimate the driver's experience in the UK when determining the premiums, but this means that if a person moved to the UK from abroad, his history does not carry over from the previous base. Marshmallow's solution was to create a scoring algorithm that includes global, not just national data. Now the service offers its services not only to expats, but to a wider category of people.
· November 3, 2020. Chinese startup iDS BUYBUYBUY, developing a cosmetics marketplace, raised $ 40 million from Lightspeed China, Orchid Asia Group and others. The marketplace contains both local and foreign brands. Brands featured on the platform include 111skin, MZskin, Temple Spa and Zita West. In addition to cosmetics, buyers can find health products on iDS BUYBUYBUY. The target audience of iDS BUYBUYBUY is Generation Z.The startup was founded in 2017.
· November 3, 2020. Online courses company Udacity raised $ 75 million in loan. The underwriter is Hercules Capital. Udacity is a global learning platform. The company helps in career development by teaching new technologies. Udacity offers programs (Nanodegrees) on AI, programming, cloud technology, drone technology, etc. Training includes online tutorials, projects designed by industry experts, hands-on exercises led by experienced mentors, and more. Udacity operates in the UK, Egypt, Germany, India and the UAE. Udacity's partners include Microsoft and AT&T. The total amount of attracted investments by Udacity is $ 238 million.
· November 4, 2020. Lockwood Publishing startup, developing the virtual 3D world Avakin Life, raised $ 25 million from Tencent, Novator Partners and others. Avalin Life has over 200 million registered users, 1 million of whom visit at least once a day. One of the ways to monetize Avakin Life is to buy virtual goods by users. Avakin Life acts more as a social network than a game. Avakin Life was launched on Google Play in 2013. Lockwood Publishing has four offices worldwide and over 200 developers. According to data from Crunchbase, the company raised its previous round of investments in August 2019.
· November 5, 2020. German fintech startup Vivid Money raised € 15 million ($ 17.6 million) in the first round of investments. As part of this round, investors valued the company at € 100 million ($ 117 million). Vivid Money allows you to manage finances from the application - make transfers, receive cashback for purchases, etc. Upon registration, the user receives an account and a virtual card for € 1, which can be issued in metal for € 20. The application allows you to open accounts in over 100 currencies. The startup also analyzes the user's transfers to determine subscriptions. This way the user can block future payments. Service partners are German SolarisBank and Visa. Vivid Money is only available in Germany, but the company plans to expand to other European countries as well.
· November 5, 2020. Ushur, a startup that develops AI solutions for communicating with customers and automating business processes, raised $ 25 million from Third Point Ventures and 8VC. AI Usuhur understands what the client needs and takes the next steps himself. Ushur solution allows you to interact with customers through emails, apps, text messages, Facebook Messenger, Slack, etc. The startup's software can integrate with Jira, Salesforce, and ServiceNow to analyze data and accelerate customer response times. Usuhur's AI also translates text into over 60 languages, enabling interaction with customers in over 190 countries. The startup's clients include HealthSpire, Irish Life and Unum. The total amount of attracted investments by Ushur is $ 36 million.
Large deals ($ 75 + million)
· November 2, 2020. Coupa Software, a public company that helps large corporations manage costs, announced the purchase of Llamasoft, an 18-year-old supply chain management company. The deal was worth $ 1.5 billion. This year, Llamasoft released its new tool - an AI-based platform for intelligent supply chain management. According to the company, Llamasoft's revenues amounted to more than $ 100 million, and the number of large clients, including Boeing, DHL, Kimberly-Clark and GM, is 650. According to Crunchbase, the total amount of attracted investments of Llamasoft is $ 56 million.
· November 2, 2020. Aeva, a lidar company, merges with special mergers and acquisitions (SPAC) InterPrivate Acquisition Corp. The market value after the transaction will be $ 2.1 billion. The transaction is expected to be closed by early 2021. Aeva is one of the companies that ditched the traditional IPO route and went public through the merger with SPAC. It is the third lidar company (after Velodyne and Luminar) to take this route to public markets.
· November 6, 2020. Self-driving car developer Pony.ai has raised $ 267 million from Beijing Kunlun Wanwei, Sequoia Capital China and others for an estimated $ 5.3 billion. Partners include Via, Hyundai, Bosch, FAW, GAC Group and On Semiconductor. As of 2019, Pony.ai's self-driving cars have driven 1.5 million kilometers. Pony.ai's platform, PonyAlpha, uses lidars, radars and cameras to monitor obstacles up to 200 meters from the vehicle. The platform served as the basis for the company's fully autonomous cargo delivery solution, which began testing in April 2019.
November 3, 2020. Russian online retailer Ozon has filed an F-1 registration application with the US Securities and Exchange Commission (SEC) for a proposed IPO on Nasdaq, and also selected the organizing banks - Morgan Stanley, Goldman Sachs and others.
The number of shares to be placed on the exchange and the price range have not yet been determined. WSJ sources said in early October that Ozon could be placed in late 2020 or early 2021 for an estimated $ 3-5 billion.
The prospectus for the IPO discloses the financial indicators of the marketplace for the nine months of 2020: the turnover from the sale of goods and services of the company (excluding Ozon.Travel) amounted to 121.6 billion rubles. (+ 142% yoy). The number of orders increased by 130% (to 44.3 million), and the number of active sellers more than quadrupled (to 18.1 thousand).
November 3, 2020. REEF, a company rethinking urban spaces to improve them, has raised $ 700 million from SoftBank, Mubadala, Oaktree, UBS Asset Management and Target Global. REEF specialists use underutilized locations to create hubs in which people can access various infrastructure. Now the company has 4,800 locations. REEF is modernizing the property before renting it out. For example, REEF offers kitchens in trailers that are parked in empty parking lots. The total amount of attracted investments of REEF reached $ 1 billion. Among the partners of REEF are Bond, DHL, Carbon Health, Get Charged and Crate to Plate.
· November 3, 2020. Microsoft and Bukalapak, one of Indonesia's leading e-commerce platforms, announced a strategic partnership to transform the country's e-commerce market. Bukalapak will use Microsoft Azure as its cloud platform and Microsoft will make strategic investments in Bukalapak. According to various sources, investments in Bukalapak will amount to $ 100 million, estimated from $ 2.5 billion to $ 3 billion. 12 million sellers and 100 million buyers are registered on the Bukalapak platform.
· November 5, 2020. Subsidiary ByteDance announced the buyback of 11% of Zhangyue, the creator of the app for reading and listening to e-books, for $ 170 million. Zhangyue is a public company with a market capitalization of about $ 1.82 billion. In the first half of 2020, every month 170 million people used the application to read books, magazines, anime, and listen to books. Apart from the app, Zhangyue is developing the iReader e-book.
November 5, 2020. China's ByteDance, which owns TikTok, is in talks to raise $ 2 billion from a group of investors, including the Sequoia fund. This was told by Bloomberg sources familiar with the details of the negotiations. According to them, in the course of the transaction, investors can estimate ByteDance at $ 180 billion. For comparison, in May 2020 the company was estimated at $ 100 billion, the agency's sources said. Agency sources also said ByteDance may begin preparing some of its largest assets, including Douyin (the Chinese version of TikTok) and news app Toutiao, for an IPO in Hong Kong. In August, Douyin had over 600 million daily active users, up from 400 million at the beginning of the year, Bloomberg notes.
· November 6, 2020. Video service Vimeo (subsidiary of IAC) raised $ 150 million from Thrive Capital and GIC. Vimeo recently changed its focus - instead of trying to compete with YouTube, Vimeo now offers video tools to companies. For example, Vimeo recently released a free video messaging product called Vimeo Record. Vimeo has 1.5 million paying subscribers and 3,500 enterprise customers including Amazon, Starbucks, Deloitte, Zendesk, Rite Aid and Siemens. In the third quarter of 2020, Vimeo's revenue was $ 75.1 million and EBITDA was $ 3.4 million.