Fundings & Exits

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Oxwash bags $1.7M for a cleaner spin on laundry

Oxwash, a UK-based laundry startup that’s aiming to disrupt traditional but environmentally costly washing and dry-cleaning processes by using ozone to sterilize fabrics at lower temperatures, along with electric cargo bikes for hyper local pick ups and deliveries, has bagged a £1.4 million (~$1.7M) seed.

Backers in the funding round include TrueSight Ventures, Biz Stone (co-founder of Twitter), Paul Forster (founder of Indeed.com), Founders Factory and other unnamed angel investors.

Prior to this, Oxwash was working with a £300k pre-seed round — which it used to fund building its first washing hubs (which it calls “Lagoons”) and to test its reengineered washing process.

The startup’s pitch is that its applying “space age” technology to clean dirty laundry, burnished by the claim that its co-founder and CEO, Kyle Grant, is a former NASA engineer — having spent two years as a systems engineer where he researched the use and effect of microorganisms for extended space travel.

That said, it’s packing its reengineered cleaning system into standard (but “massively” modified) industrial washing machines. Just add coronavirus-safe ‘space suits’ (er, PPE)….

“Washing still has crazy carbon emissions, pollution and collection/delivery services cause large amounts of congestion. We saw a way to re-engineer the laundry process from the ground up and to be the first truly sustainable, space-age laundry company in the world,” says Grant, discussing the opportunity he and his co-founder spied to rethink laundry.

“We’re developing processes to have zero net carbon emissions for the whole laundry process — from collection to washing and back to delivery.”

The team is developing “chemistry that works at 20˚C better than at 40˚C or higher, integrating ozone disinfection to remove microorganisms by oxidation rather than using heat and developing water recycling and filtration systems to reduce water consumption and remove microfibre pollution at the same time”, per Grant.

It’s also structuring business operations to locate washing hubs in city centres, where its customers are based, so it can make use of electric bikes for moving the laundry around — allowing for a next day service with 30 minute collection and delivery windows.

“Traditional washing processes use huge amounts of water, energy to heat said water, harsh chemicals and normal petrol/diesel vans for the collections and deliveries. These process warehouses are usually located outside of cities and there are large lags in when items are returned to the customers (up to two weeks),” he further claims.

While ozone itself is a pollutant that degrades air quality, and can even be dangerous if released, Grant says the ozone used in its cleaning machines — which is produced from oxygen in the atmosphere — degrades back to oxygen “within minutes and is therefore inert and safe”.

“After extensive analysis ozone is far safer to use in commercial laundry processes than heat and harsh chemicals such as peroxides (bleach),” he suggests.

On safety, he also says their washing machines are modified to be sealed whilst “washing and disinfecting”, and can only be opened after the ozone has degraded. “Our lagoons are also fitted with ozone sensors that will cut off our generators if the ozone concentration in the air ever goes over the safe limit,” he adds. “Thankfully this has never occurred. The risks to our staff are far lower than when working with boiling water tanks, harsh chemicals and manual handling, the usual work flow in commercial laundries.”

Oxwash launched in the UK in early 2018 and now has more than 4,000 individual customers, per Grant, along with “several hundred” business customers — including the Marriott Hotel Chain, NHS GP practices, London Marathon and Universities of Oxford and Cambridge.

It’s executed a slight pivot of focus over the past two months — spying an opportunity to target risks related to the coronavirus. “We’ve developed a service in the last 2 months that is available to provide coronavirus disinfection,” he says in a statement. “We are working closely with [the UK’s National Health Service] NHS and vulnerable groups to provide support when needed.”

“We have adopted laboratory-grade PPE [personal protective equipment] processes, heavily inspired and adapted from my time working at NASA but also from guidelines from the NHS and HSE England,” Grant adds. “For example, we now perform contactless collections and deliveries whereby the customers pre-bag their items in supplied dissolvable bags. Our rider then has gloves, goggles and a respirator to perform the transfer back to the lagoon where a member of our team in full hazmat gear will load and unload the machines where disinfection is performed.”

Before the COVID-19 pandemic, he says the startup was getting traction from customers wanting to remove allergens that caused them allergic reactions.

“We were confident of moving into the healthcare market in the years to come but usually the tender process for such contracts is not conducive to a startup,” says Grant. “However since the advent of COVID-19 and our ongoing healthcare certification, we have seen a huge increase in the value of proper hygiene to both the individuals and businesses we serve. The Marriott Hotel chain and Airbnb have both expressed serious intent to work on a non-healthcare hygiene rating much like that of the Food Standards Authority. We are working with CINET (the international textile committee) to bring this to market with our technology and processes.”

The seed funding will be used to expand to more cities within the UK and Europe — with London and other European hubs, such as Paris and Amsterdam, in its sights. Its initial two locations are Oxford and Cambridge.

It’s also going to spin up on the hiring front, planning to add a head of growth and head of tech, as well as new operational roles in London.

Ploughing more resource into software dev is another focus, with funding going to expand the tech stack and the software systems which run its logistics and integrate with its digitised washing process. More work on its app is also planned. 

Asked what makes Oxwash a scalable business, Grant points to the development of this proprietary software alongside the reengineered washing service. “This iteration of technology and service allows us to develop our washing technology rapidly and get real-time feedback on the end-product and service from our customers,” he says. “The scalable technology element is the proprietary washing process driven by our bespoke software stack and process algorithms.”

On the labor side, Grant says Oxwash is “working towards a B Corp accreditation”.

“[We] have long held that our team should be properly reimbursed for their work but also as ambassadors for our brand out on our bikes. To that end all of our riders (couriers) are fully employed and like the rest of the team they are paid in excess of the national living wage,” he adds.

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Mark Cuban: ‘Raising money isn’t an accomplishment, it’s an obligation’

Mark Cuban isn’t impressed that you’ve raised money.

“If you think the accomplishment is raising money first, we’re probably not gonna get along,” said Cuban in an Extra Crunch Live interview. “If your orientation is ‘I got to raise the money first,’ you don’t really have a company yet, and you really haven’t accomplished anything yet. […] Sweat equity is the best equity.”

We also got his take on today’s economy, the nation’s direction and his notes on what startups should do to survive in the new world. Happily, as we had an hour to chat, we managed to cover a lot of ground. The full conversation (YouTube) is after the jump, and we’ve excerpted a number of quotes for your perusal.

But up top we wanted to share Cuban’s notes regarding which companies should accept Paycheck Protection Program (PPP) funds from the Small Business Administration. The matter became a hot-button issue in and around Silicon Valley, where initial debate centered around which startups could access the money. After it became clear the first installment of PPP funds wasn’t going to last, whether startups should access to the capital at all became a question. Some venture-backed companies even decided to return their PPP check.

According to Cuban, when PPP was first put together, the market’s “perspective was that there’d be plenty of money for everybody. You know, people didn’t really want to do the math.” Cuban said that if there was $350 billion in the pot and one million small businesses, the fund would have worked out to $350,000 apiece. “Well guess what,” he said, “there are 30 million companies, [and] like 20 of them are independent contractors.”

Once you did the calculations again with that many companies eligible for PPP funds, you could tell that the money wasn’t going to last. So Cuban told firms that he’s invested in where he has sway to “either not apply or just pay it back immediately.” Why? “For the betterment of the country and the economy,” he said, adding that “if you do have access to capital” or “your business isn’t dramatically impacted [then] let’s leave [the PPP money] for the people who need it the most.”

As noted, the full video is below (you can join Extra Crunch here!), along with Cuban’s notes on startup advice during the pandemic, American 2.0 (and Marc Andreessen’s essay), AI, pre-seed companies, his future in politics and how to pitch him.

Mark Cuban on the record

How he’s advising portfolio companies during the pandemic:

So first and foremost, communicate. Second is be honest. Third is be transparent. And fourth is be authentic. Because everybody is nervous. Everybody is terrified at a certain level. So you just have to recognize that. People are going to need that honesty from you and people are going to want communications from you. That’s been the primary thing around what these companies should do.

Regarding cutting costs: Every business is different. On the smallest ones, they’re already grinding, and it’s typically dependent on the founder. I’ve really tried to encourage people to keep all their employees on if at all possible. That there’s gonna be a lot of change and that’s going to create a lot of opportunity. So, if you can hold on to your employees and push forward in any way, shape, or form, you may have an opportunity.

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IPOs, crypto funds and other things I missed this week

Hello and welcome back to our regular morning look at private companies, public markets and the gray space in between.

What a week it’s been. I’m exhausted. Not only are we another cycle deeper into the COVID-19 quarantine, but there seems to be more news than ever to sift through. I’ve fallen behind. So, today, this little column is taking look back at things that it missed but wanted to cover. (There may come a day when we run out of stuff to talk about, but it’s not coming any time soon.)

So let’s talk about a16z’s new crypto fund, recent economic data, the Ebang F-1, Lime’s layoffs, Procore’s IPO delay and fresh valuation, stocks, Luckin, and, if we have time, Twitter’s changing jobs data. Let’s get this all out of our heads and into the world.

Odds, ends

To annoy my editors, we’re using bullet points this morning. Bullet points are great way to convey a bloc of information in a neat format. Let the haters hate, we have a lot of ground to cover:

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Monzo recruits former Amex exec Sujata Bhatia as its new COO

More personnel changes are afoot at Monzo, as the U.K. challenger bank continues to bolster its leadership team.

Specifically, TechCrunch has learned that Sujata Bhatia, a former American Express executive in Europe, has been recruited as Monzo’s new Chief Operating Officer, replacing previous COO Tom Foster-Carter (who left the bank rather suddenly in November to found a startup of his own). Monzo confirmed Bhatia’s appointment, which is still subject to regulator approval, and I understand she is due to start the COO role in late June.

Prior to Monzo, Bhatia spent almost 16 years at American Express. Her most recent position at Amex was Senior Vice President for Global Merchant Services Europe. Before that she was Senior Vice President of Global Strategy and Capabilities, where, according to her LinkedIn profile, she lead a team of 400 people across 23 global markets.

Bhatia’s appointment follows the recruitment of Mike Hudack, the former CTO of Deliveroo and most recently a founding partner at London venture capital firm Blossom Capital. He joined Monzo in March as the challenger bank’s new Chief Product Officer. Going in the opposite direction was Meri Williams, Monzo’s Chief Technical Officer, who parted ways with the bank a few weeks later citing her wish to voluntarily help with “cost-cutting measures.”

Meanwhile, Bhatia joins Monzo at a somewhat turbulent time for the challenger bank, as it, along with many other fintech companies, attempts to insulate itself from the coronavirus crisis and resulting economic downturn, meaning that the new COO will likely need to hit the ground running.

Last month, I reported that Monzo was shuttering its customer support office in Las Vegas, seeing 165 customer support staff in the U.S. lose their jobs. And just a few weeks earlier, we reported that the bank was furloughing up to 295 staff under the U.K.’s Coronavirus Job Retention Scheme. In addition, the senior management team and the board has volunteered to take a 25% cut in salary, and co-founder and CEO Tom Blomfield has decided not to take a salary for the next twelve months.

Like other banks and fintechs, the coronavirus crisis has resulted in Monzo seeing customer card spend reduce at home and (of course) abroad, meaning it is generating significantly less revenue from interchange fees. The bank has also postponed the launch of premium paid-for consumer accounts, one of only a handful of known planned revenue streams, alongside lending, of course.

With that said, Monzo recently launched business accounts, many of which are revenue generating, with both free and paid tiers. I understand from sources that the number of business accounts opened to date already stands at approaching 20,000.

Related to this, having originally missed out on state aid via the capability and innovation fund designed to introduce more competition in SME banking, Monzo now has a second potential bite of the apple after previous grant winners Metro and Nationwide are returning the money.

As always, watch this space.

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How this startup built and exited to Twitter in 1,219 days

By the summer of 2016, Marie Outtier had spent eight years as a consultant advising media agencies and martech companies on marketing growth strategy.

Pierre-Jean “PJ” Camillieri started as a music software engineer before joining one of Apple’s consumer electronics divisions. Inspired by Siri, he left to start Timista, a smart lifestyle assistant.

When the two joined forces to co-found Aiden.ai, the combination was potent — one was a consummate marketer, the other, a specialist in machine learning. Their goal: create an AI-driven marketing analyst that offered actionable advice in real time.

Humans who manage ad campaigns must analyze vast amounts of numbers, but Outtier and Camillieri envisioned a tool that could make optimization recommendations in real time. Analytics are vast and unwieldy, so theirs was a no-brainer proposition with a market crying out for solutions.

The company’s first office was at Bloom Space in Gower Street, London. It was just a handful of hot desks and a nearby sofa shared with four other startups. That summer, they began in earnest to build the company. A few months later, they had a huge opportunity when the still 100% bootstrapped company was selected for Techcrunch Disrupt’s Startup Battlefield competition.

Interviewed by TechCrunch, they explained their proposition: Marketers wanted to know where a digital marketing campaign was getting the most traction: Twitter or Facebook. You might need to check several dashboards across multiple accounts, plus Google analytics to compile the data — and even if you conclude that one platform is outperforming the other, that might change next week as users shift attention to Instagram, potentially wasting 60% of ad spend.

Aiden was intended to feel like just another co-worker, relying on natural language processing to make the exchange feel chatty and comfortable. It queried data from multiple dashboards and quickly compiled it into flash charts, making it easy to find and digest.

Eventually, instead of managing 10 clients, marketing analysts would be able to manage 50 using dynamic predictions as well as visualizations. Aiden incorporated Outtier’s expertise into its algorithms so it could suggest how to tweak a Facebook campaign and anticipate what was going to happen.

Was appearing at Disrupt a significant moment? “It was a big deal for us,” says Outtier. “The exposure gave us ammunition to raise our first round. And being part of the Disrupt Battlefield alumni gave us many meaningful networking and PR opportunities.”

A few weeks later the company had raised a seed round of $750,000. But not without difficulty. By this time Outtier was in the latter stages of pregnancy. Raising money under these circumstances was difficult, but, she says, “it can be done. It’s tougher than ‘normal circumstances.’ It’s a bit like running a marathon, but with a fridge on your back.”

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Zetta Venture Partners’ Jocelyn Goldfein chats about AI investing

Earlier this month, href=”https://www.zettavp.com/”>Zetta Venture Partners, a B2B, AI-focused venture outfit, announced a new $180 million fund.

As new VC funds are anecdotally a bit thinner on the ground these days — and because we’re in the midst of economic upheaval, which is changing investing patterns and shaking up startup verticals — I got on the phone with Zetta’s Jocelyn Goldfein (a TechCrunch regular) to chat about what her firm is doing and what’s up with AI investing.

The fund

Zetta’s new fund is about 50% larger than its preceding capital pool, which was roughly double its first fund. If you don’t want to do the math, Zetta’s first fund was worth $60 million, and its second $125 million.

Zetta will invest in B2B-focused, AI-powered seed-stage startups like it has before, but with more capital. I was curious about cadence: Would the firm write more checks more quickly now that it has more capital? Per Goldfein, the firm is keeping its pace and strategy pretty much the same with preceding funds, though it has promoted a principal from within who will begin to lead deals from the new fund.

Why more money if things are mostly looking the same? Zetta wants the capability to write larger checks and take a bit more ownership, so it needs more capital. In turn, defending those percentages requires more capital; you get the idea.

Pace, pricing

Early in our chat with Goldfein it became obvious that it’s an active time for AI-focused startups to raise, thanks to COVID-19-driven uncertainty. According to Goldfein, founders who have yet to raise their first capital are “looking at the funding window and thinking, oh, boy, if we thought we might raise three months from now, maybe we should just try now.” Even more, some companies that have already raised are going back to the market for top-ups. Goldfein said those startups are looking for “a little extra runway.”

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Rapid7 is acquiring DivvyCloud for $145M to beef up cloud security

Rapid7 announced today after the closing bell that it will be acquiring DivvyCloud, a cloud security and governance startup, for $145 million in cash and stock.

With Divvy, the company moves more deeply into the cloud, something that Lee Weiner, chief innovation officer, says the company has been working toward, even before the pandemic pushed that agenda.

Like any company looking at expanding its offering, it balanced building versus buying and decided that buying was the better way to go. “DivvyCloud has a fantastic platform that really allows companies the freedom to innovate as they move to the cloud in a way that manages their compliance and security,” Weiner told TechCrunch.

CEO Corey Thomas says it’s not possible to make a deal right now without looking at the economic conditions due to the pandemic, but he says this was a move they felt comfortable making.

“You have to actually think about everything that’s going on in the world. I think we’re in a fortunate position in that we have had the benefit of both growing in the past couple years but also getting the business more efficient,” Thomas said.

He said that this acquisition fits in perfectly with what he’s been hearing from customers about what they need right now. “One area of new projects that is actually going forward is how people are trying to figure out how to digitize their operations in a world where they aren’t sure how soon employees will be able to congregate and work together. And so from that context, focusing on the cloud and supporting our customers’ journey to the cloud has become an even more important priority for the organization,” he said.

Brian Johnson, CEO and co-founder at DivvyCloud, says that is precisely what his company offers, and why it should fit in well with the Rapid7 family. “We help customers achieve rapid innovation in the cloud while ensuring they remain secure, well governed and compliant,” he said. That takes a different playbook than when customers were on prem, particularly requiring automation and real-time remediation.

With DivvyCloud, Rapid 7 is getting a 7-year-old company with 70 employees and 54 customers. It raised $27.5 million on an $80 million post-money valuation, according to PitchBook data. All of the employees will become part of the Rapid7 organization when the deal closes, which is expected to happen some time this quarter.

The companies say that as they come together, they will continue to support existing Divvy customers, while working to integrate it more deeply into the Rapid7 platform.

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Spark fast follows with a $25M Series B round into customer success platform Catalyst

The world has been turned upside down the past few weeks, but one lesson of business remains as important as ever: treating your customers well is the best avenue to future business strength, particularly at a moment of extreme stress.

As businesses come to terms with the economic crisis underway, executives are moving resources from customer acquisition to customer retention — and that’s proving very lucrative to startups that service the customer success market.

Case in point: New York City-based Catalyst, which I profiled just last summer following its $15 million Series A led by Accel’s Vas Natarajan, has seen huge revenue growth the past few months. The data-driven customer success platform has seen its revenue grow by 380% since the Series A financing according to CEO Edward Chiu.

Steep revenue growth is (unsurprisingly) attractive to investors, and in a moment of fortuitous timing, the company signed a $25 million Series B term sheet with Spark Capital just as the COVID-19 crisis was getting underway.

Chiu said Catalyst wasn’t seeking the investment, having much of its Accel round still in the bank, but he ultimately decided that having the extra capital in hand through a looming economic recession was the right decision. The capital officially hit the bank account at the end of March, and was led by the firm’s growth investor Will Reed.

While the company didn’t disclose the valuation, a source with knowledge of the matter quoted a valuation of $125 million. That’s a serious valuation for a company that launched just two years ago in April of 2018.

Outside of more funding, the core story of the company’s product remains the same. Catalyst wants to bring together all the data sources and team members who interact with customers — everyone from designers and engineers to customer success managers — into one dashboard to ensure that everyone has accurate and up-to-date access to all the information they need on the health of every customer.

The one airbrush: the company’s previous URL of getcatalyst.io has become catalyst.io, and officially re-launched this morning.

One growth area that the company is exploring outside of the B2B space of its existing customers is in healthcare, where the company has seen some inbound interest. Chiu says that Catalyst is exploring the steps required to reach HIPAA compliance with its platform, and hopes to expand to more sectors over time with the capital from its Series B.

The Catalyst team. Photo via Catalyst.

When we last checked in with the company, Catalyst had 19 employees and was targeting 40 employees by July 2020. Chiu said that Catalyst is already at 35 employees, and will likely hit 60 to 70 employees by the end of the year.

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Oriente raises $50 million to continue building its infrastructure for digital financial services

Oriente, a Hong Kong-based startup that develops tech infrastructure for digital credit and other online financial services, has raised $50 million for its ongoing Series B round. The funding was led by Peter Lee, co-chairman of Henderson Land, one of Hong Kong’s largest property developers, with participation from investors including website development platform Wix.com.

Launched in 2017 by Geoff Prentice (one of Skype’s co-founders), Hubert Tai and Lawrence Chu, Oriente focuses on markets that are underserved by traditional financial institutions. The new funding will be used for growth in Oriente’s existing markets, the Philippines and Indonesia, and expansion into new countries, including Vietnam.

It will also be used to continue building Oriente’s technology, which uses big data analytics to help merchants increase sales conversions and lower risk. Oriente has now raised more than $160 million in equity and debt, including a $105 million round in November 2018.

While many large tech companies, including Grab, Google, Facebook, Amazon, Uber, Apple and Samsung, are looking at digital payments and other online financial services, they need the tech infrastructure to do so, and partners that can also help them handle regulations in different markets.

Oriente doesn’t compete with payment providers. Instead, it is “innovating credit as a service,” Prentice told TechCrunch, by building technology that allows offline and online merchants to launch digital credit solutions quickly.

Oriente “is the only company that is focusing on building an end-to-end digital financial services infrastructure,” he added, with services created for consumers, online and offline merchants, and enterprise clients.

For consumers, the startup currently offers two apps, Cashalo in the Philippines and Finmas in Indonesia, which it says has a combined 5 million users and more than 1,000 merchants. Services include cash loans, online credit and working capital for small to medium-sized enterprises.

Oriente says that in 2019, it saw a 700% year-over-year growth in transactions and served more than 4 million new users, while merchant partners had a more than 20% increase in sales volume.

Over the next few months, Oriente plans to expand its Pay Later digital credit feature and launch new growth capital solutions for small businesses that need financing. Oriente also has several partnerships in the works to expand its enterprise solutions for larger businesses and corporations.

In Vietnam, Oriente is currently beta testing a consumer platform similar to Cashalo and Finmas. It will offer online credit and financing, as well as other services in partnership with local companies.

Oriente has also started focusing on how to serve businesses during the COVID-19 pandemic, since many merchants are coping with revenue declines, loss of users and cash flow issues.

“Over the past few weeks, we’ve reprioritized our corporate strategy to focus on the top opportunities within each market. We have also taken various steps to rebuild our organizations for optimized operational and financial efficiency in line with current and forecasted market conditions and our more focused strategy,” Prentice said.

“Our aim is not only to mitigate anticipated headwinds on liquidity but to demonstrate that our business has the potential to overcome and outperform the market in a recession—unlocking value for all stakeholders for years to come.”

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OMERS Ventures announces a new $750M fund for investing in North America, Europe

OMERS Ventures, the venture capital arm of the Ontario Municipal Employees Retirement System (OMERS), has put together a new, $750 million fund to invest in both Europe and North America.

The capital vehicle is larger than the group’s preceding European and North American funds combined. In 2019 OMERS Ventures announced a €300 million fund Europe-focused fund (TechCrunch covered its launch here), and the venture group’s last North American fund was worth $300 million back in 2017. The new $750 million is a hybrid, acting as both the firm’s Europe-focused capital pool and the source of funds from which it can invest in North American startups.

According to Damien Steel, a managing partner at OMERS Ventures, the firm invested about CAD$100 million from the original Europe fund, with the rest now reserved for follow-on investments; Steel told TechCrunch that he doesn’t anticipate that the full amount will be used for that purpose.

But the remaining differential is somewhat immaterial as the venture collective has a new, three-quarters-of-a-billion-dollars capital pool to put to work. According to Steel, OMERS Ventures has “consolidated [its] efforts and made a new transatlantic fund.” The firm’s hope is that the shared capital will lead to a more cohesive investing group than having two funds for different teams engendered.

OMERS Ventures expects to deploy around $200 million a year across Europe and North America, a pace that Steel says will be similar to preceding efforts.

The COVID era

I wanted to chase down what Steel and company are doing that’s different in the new era. Something new is a slightly different mindset concerning runway. Instead of the usual 18-month expectation between rounds, Steel told TechCrunch that expectations and planning are lengthening to 24 months or longer between capital events — enough cash to get through whatever the current downturn winds up becoming.

Happily for Steel and his firm, some OMERS portfolio companies are well capitalized, with the venture capitalist telling TechCrunch during a call that “that the companies [his firm has] invested in a have really benefited from the exceptional amount of liquidity that’s been available in the market over the last two years,” with some of their startups winding up “sitting on quite a lot of cash because arguably they raised too much in 2019 and 2018.”

The capital was cheap, Steel notes, so lots of companies took what was on offer. The result? Many startups heading into 2020’s recession have well-stocked bank accounts. Not all, of course, raised right before things got worse. The firms that didn’t may struggle.

Given that the new OMERS Ventures fund intends to invest both in North America and Europe, I wanted to know what’s different between the two regions today as the COVID-19 pandemic continues to drive economic havoc. Notable to me was the fact that Europe is doing as well as it is, with Steel noting that “the funding environment has remained more active in Europe than it has in the US.”

He’s seeing “healthy” activity in Europe around the Series A and B stages. It’s perhaps unsurprising, then, that Steel told TechCrunch that the startup valuation pressure it’s easy to find in the North America venture scene isn’t quite as tough in Europe. Steel noted that 20% and 30% drops in valuation multiples in American and Canada from prior levels are common, while in Europe “it’s definitely less than that.”

For founders that there’s new funds of scale coming together at all is likely welcome. OMERS Ventures expects to have closed eight deals from its new fund “within a month,” a quick pace given its age.

Disclosure: OMERS Ventures invested in Crunchbase, my former employer. 

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