Metropolis Technologies closes $1.8B Series C deal with SP+

Metropolis Technologies has officially closed its acquisition of SP+ (SP Plus). Congrats to Alexander Israel, Peter Fisher and the Metropolis/SP+ teams. #acquisition #parkingnews #parkingupdate #mobilitynews #mobilityrecap #parkingrecap #parkingindustry #sp+ #metropolis #parkingtechnology #digitalpayments #mobilityhubs #mobility #technology #tech National Parking Association International Parking & Mobility Institute (IPMI) Parking Today Media TechCrunch

Aussie fintech InDebted raises a $41 million series C round Australian #fintech company #InDebted has secured $41 million (A$60 million) in a Series C funding round, strengthening its mission to transform the debt collection industry through ethical and customer-centric solutions. Founded in 2016 by Josh Foreman, InDebted utilizes AI and machine learning to personalize debt collection journeys, aiming to improve liquidation rates and provide valuable insights for clients like Klarna, Trustly, and Snap Finance. The funding round saw participation from both existing and new investors. Current shareholders Carthona Capital, Reinventure Capital, and Perennial were joined by new backers Airtree Ventures, Australian Retirement Trust, and Premier Capital Partners. Additionally, Sydney-based VC firm SecondQuarter Ventures acquired shares from angel investors and early employees. With this new capital infusion, InDebted plans to expand into new markets, including imminent launches in the UAE and Mexico. The company also intends to accelerate product development and execute its M&A strategy. The funding elevates InDebted's valuation to approximately $240 million (A$350 million). Craig Blair, co-founder and partner at AirTree Ventures, commented on InDebted's innovative approach: "By leveraging AI and machine learning to personalize collections journeys, InDebted is rewriting the narrative on debt collection. This approach aims to deliver ethical solutions that alleviate what has traditionally been a painful customer experience." The article on FinTech Futures in the first comment.

#ProRataRights are crucial tools in VCs' arsenal, allowing early investors to maintain ownership in future funding rounds. These rights aren't just protective for #VCs; they offer strategic opportunities for founders, helping them scale, align incentives, and build wealth. By utilizing these rights through mechanisms like a #SpecialPurposeVehicle (#SPV), founders can bolster both company and personal financial security. Meet Alex and InnovateX! Alex, founder of tech startup InnovateX, secured $1 million during the seed stage with multiple VCs. Importantly, Alex also acquired a “founder’s pro rata” right for future investments. As InnovateX reached its Series B with a valuation of $50 million, Alex needed $5 million to maintain his 10% stake, preserving his influence and preventing dilution. -------Creating an SPV Without sufficient personal funds, Alex formed an SPV, investing $1 million himself and raising $4 million from strategic co-investors via CIMA FUNDMASTER. The SPV aimed to purchase Alex's pro rata shares, with a 20% carry and a 4% one time admin fee. -------Returns from the Sale of InnovateX A couple years after, InnovateX sold for $250 million, leading to substantial returns: 1. Alex’s Stake/ SPV Gross Return: His 10% stake is now valued at $25 million. 2. Deductions and Distribution: - Initial SPV Investment: $5 million - Profit: $20 million (total $25 million - $5 million investment) - Carry Fee: $4 million (20% of $20 million) - Admin Fee: $200,000 (4% of $5 million) - Net Distribution to SPV investors: $20.8 million after fees and investments -------Alex’s Gain: Alex realized significant profit from the SPV, including his $1 million investment and potential carry: - Total Gain: $4.16 million (SPV Return) + $4 million (Carry) = $8.16 million. Alex’s strategic use of pro rata rights and SPVs exemplifies effective financial planning. His approach enabled InnovateX to expand while maintaining control, distributing financial risks, and sharing the rewards, resulting in substantial wealth creation. CIMA FUNDMASTER simplifies this entire process throughout the deal lifecycle. License CIMA today, starting at just $100 per month, and start building your wealth! Visit https://cima.vc/pricing/ for more details.

Who had “big company Silicon Valley strategy & ops operator co-founding a financial services startup in Mexico" on their 2025 bingo card? Not even me. As the proud daughter of a mexicana, I’ve always felt a deep pull to connect with my heritage, both personally and professionally. That connection crystallized during a chat at a family wedding with Andres Burkle, as he shared his vision: credit should empower people & fuel Mexico’s economic development, not create obstacles or exploit. That planted the seed for what would become Diexell. 18 months of bootstrapped tenacity later—market analysis, PyMEs (Pequeñas y Medianas Empresas) meetings, attending industry events, & refining our strategy—Diexell is officially out of stealth mode 🥷🏻 & thrilled to share what we’ve been building. Our purpose is clear: to drive impact through credit. We believe in financial solutions that eliminate friction, center on people, and align profit with purpose. At Diexell, credit isn’t just a transaction—it’s a powerful tool for growth for both businesses & investors. We’re not just filling the gap; we’re reimagining how private credit can work.With 89% of PyMEs lacking access to credit—and those who do facing 100%+ interest rates or prohibitive collateral requirements—this distressed & underserved market is primed for disruption.These PyMEs lack a trusted financial partner, and their LTV as customers is just beginning, creating a significant opportunity. With the nearshoring boom creating a once-in-a-generation opportunity for Mexico’s supply chain, the need for tailored financial solutions has never been greater. Our beachhead strategy focuses on providing sustainable, asset-backed loans for productive assets in high-growth sectors of transportation & logistics. We’re building toward a bold vision: becoming a $500M private credit business. In my role as COO, I’m responsible for strategy, GTM, sales, marketing, people, and ops—all the things I ❤️ most.Today, we launch: • 🆕 A new brand & GTM • 💪 A rockstar core founding team • 🏢 5 entities (yes, really!) • 📈 A pipeline of private beta clients • 💰 + $1M raised in F&F investment A huge gracias to our fab 😇 investors—Mathew Donoghue, Axelle Girardot, Jaqi (Jacqueline) Saleem, Katie A. —for your early belief, wisdom, & heart & our most recent F&F investors Greg Cosway, Chase & Kim Kopetz. To our amazing advisory village: Mauricio Basila, our investment Yoda; Antonio Federico Groenewold Rivas, the Cayman Sandwich guru; legal eagle Rodrigo M.; & the accounting dynamic duo, Adolfo B. & Monic Ramirez—thank you for helping us navigate this journey. They say every great founding team needs a Dreamer & a Doer—guess who I am? Andrés, thank you for trusting me & tolerating my relentless need to ‘put everything in a box’ or, better yet, a slide 😉. It’s an honor (& fun) building this with you. Follow along, get in touch, and join us on the Diexell journey 🚀

We've had the privilege of collaborating with Multiplier Capital in the past, and now we're excited to profile the investment firm in this week's #InvestorSpotlight feature. Multiplier Capital is a growth financing platform that invests in rapidly growing, professionally-backed companies. With $1 billion+ in AUM and 90 years' worth of combined professional experience, Multiplier Capital prides itself on its ability to create tailor-fit solutions for companies. Multiplier generally allocates investments ranging from $5 million to $50 million in its portfolio companies, although it may consider larger investments in collaboration with partners. Founded in 2011, the firm is headquartered in Washington, DC. It also has offices in New York City, the Bay area, and Austin, Texas. The firm's portfolio primarily consists of companies across enterprise software, digital media, healthcare IT, consumer e-commerce, and tech-enabled services. Notably, one of their successful investments was Scopely, which was acquired by Savvy Gaming Group for $4.9 billion on April 5, 2023. As per the firm’s website, the firm was founded by Ezra Friedberg, Kevin Sheehan, Huck O'Connor, and Ray Boone. Ezra Friedberg, a co-founder and general partner at Multiplier Capital, boasts more than 20 years of investment expertise spanning public and private enterprises. Kevin Sheehan, a co-founder and managing general partner of Multiplier, brings a wealth of experience from his leadership roles, including prior President and CEO of ORIX's growth lending business, practicing corporate law at Wachtell, Lipton, Rosen & Katz, and serving in the U.S. Army. Ray Boone, a founding member and general partner at Multiplier, has over two decades of experience in growth and venture lending. He was previously instrumental in establishing ORIX's growth lending business and managed operations in the Western Region. Henry "Huck" O'Connor is a co-founder and general partner of Multiplier, and he has over 3 decades of transaction experience. In his career, he has raised over $18 billion in debt and equity capital for large and small public and private companies. In January of this year, Multiplier Capital, in collaboration with other investors, infused $37 million into Komprise's growth capital. Komprise is at the forefront of analytics-driven unstructured data management and mobility. This fresh funding will fuel the expansion of operations and further solidify market leadership, bringing the total funding to date to $85 million. Learn more about the firm here: www.multipliercapital.com. ——— At AXIS Capital Markets, we specialize in global debt placement and private market secondaries for VC- and PE-backed companies. Follow us to stay tuned for next week’s feature. #privatemarket #secondaries #venturecapital #privatecredit #privateequity

Today, Monark Markets announced their $2.2M financing round which we were excited to participate in alongside Rishi Taparia from Garuda and Grit Capital Partners. This raise brings Monark's total funding to $3.6M, with previous investors including James Murphy from Forum Ventures. See the article from Lucinda Shen from Axios: https://lnkd.in/edKX-ksu I believe financial APIs will be responsible for creating a more collaborative and competitive financial ecosystem, driving trillions in transactions across Credit, Investments, Insurance, you name it. Open-banking and its influence has been the driving force behind the advent of financial APIs and with these new services every company (fintech or not) will be able to seamlessly offer financial services without building the infrastructure themselves. In the case of Monark, they are connecting the demand of alternative asset managers whether it's Blackstone or Masterworks to access retail capital efficiently and effectively, while allowing wealth managers, digital or traditional, to offer the entire world of alternatives all through an API. They are the plumbing to help drive the $1T/year in retail capital entering private markets (Bain & Co). Monark’s unique approach involves partnering b2b with incumbent distribution platforms (brokerages & RIAs) to embed an alternative investing experience akin to investing in public markets directly into their native user experience, while standardizing the fragmented and compliance heavy process of offering alts to individual investors. Ben Haber and Paul Davis are young, hungry, smart founders with an incredibly senior team (from Templum, Alto, Prime Trust, Securitize) and heavyweights for advisors like William Capuzzi (CEO of Apex Fintech Solutions, an industry leading custodian). While most NYU grads were graduating, Ben and Paul skipped their walk down the aisle to buy Lex Markets out of bankruptcy (a company which raised $27M+) for $325k to kickstart their internal trading system so they aren’t starting from scratch. We believe customers will demand a digital experience (even from the RIAs, wealth managers etc) which necessitates a model like Monark's to support on the back end. Current incumbents, iCapital or CAIS, or well funded startups like Templum, Opto, or Moonfare are still suffering from the same things: high minimum tickets, liquidity issues, legacy infrastructure and direct to investor distribution. Monark’s approach can solve all of these problems and facilitate the ramp of alternatives amongst retail/mass affluent portfolios. If you are looking to join a rocketship before takeoff or currently work at a brokerage or RIA and want to learn more about integrating with Monark, get in touch!

Last week, major Stripe investor Sequoia Capital offered to buy up to $861M worth of Stripe shares in a letter to LPs in its funds raised from 2009 to 2011. Here are the details of the offer: On July 15, 2024, major Stripe investor Sequoia Capital offered to buy up to $𝟴𝟲𝟭 𝗺𝗶𝗹𝗹𝗶𝗼𝗻 worth of Stripe shares in a letter to LPs in its funds raised from 2009 to 2011. ▶ The purchasers of the shares would be newer Sequoia funds, according to the Firm’s email to LPs. ▶ Sequoia has invested a total of $517 million in Stripe since the Firm’s first investment at the seed stage in 2010. ▶ The stock purchase would represent approximately 10% of Sequoia’s position in the Company, which is valued at $9.8 billion. The price per share will be set at $27.51 based on Stripe’s recent $𝟳𝟬 𝗯𝗶𝗹𝗹𝗶𝗼𝗻 409A valuation. ▶ LPs have until August 14, 2024 to decide whether to hold or sell all or a portion of their shares. ▶ LPs that opt to sell their shares would not pay carried interest, and Sequoia Partners would not profit on sales unless they chose to liquidate personal investments in the relevant funds. ▶ In its letter to LPs, Sequoia expressed its belief that Stripe is durable across investment cycles as well its enthusiasm regarding the Company’s ten-year prospects. Stripe’s $70 billion 409A valuation represents a substantial recovery in implied value from its 2023 Series I round, when it took a $45 billion haircut from its $95 billion valuation in early 2021 to $50 billion. In March, Stripe announced in its annual letter that it had surpassed $1 trillion in total payment volume in 2023, up 25% from 2022 See more details and a Stripe company profile, provided by my friend Steve McLaughlin from Financial Technology Partners / FT Partners in the document below 👇 Find this helpful? [ 𝗿𝗲𝗽𝗼𝘀𝘁 ] Anything to add about this subject? [𝗶𝗻𝘃𝗶𝘁𝗲𝗱 𝘁𝗼 𝗰𝗼𝗺𝗺𝗲𝗻𝘁] Nice story, Marcel. Next! [ 𝗹𝗶𝗸𝗲 ] 

September 11 2024 – 5 Notable Articles To Read Article: Josh Harris’ 26North to Buy ArchKey in First Private Equity Deal Takeaway: The New York-based company announced in an emailed statement that it has agreed to acquire ArchKey Solutions, a provider of electrical, technological, and specialty systems. According to sources familiar with the matter, who requested anonymity due to the confidential nature of the information, the deal values ArchKey at over $1B, including its debt. Source: Bloomberg Link: https://lnkd.in/dKU97nYe Article: Private equity comes for fintechs as exits and funding dry up Takeaway: It’s not the only fintech to secure private equity funding this year. According to Dealroom.co data, 14 European fintechs completed funding rounds backed exclusively by private equity firms in the first quarter of 2024 — the highest number since 23 deals were closed in Q3 2022. Source: Sifted Link: https://lnkd.in/dNnWCFcV Article: Charlesbank Capital Partners Acquires Digital Agency Front Row Takeaway: Front Row, which counts Serena Williams's Wyn Beauty line among its clients, specializes in the rapidly expanding beauty, health, and wellness sector. These products are often purchased on a recurring basis, with many customers opting for subscription services that automatically replenish items at set intervals. The investment, made through Charlesbank’s flagship fund, aligns with the fund's "sweet spot," targeting companies valued between $200M and $700M with equity investments ranging from $200M to $300M, according to Choe. Source: The Wall Street Journal Link: https://lnkd.in/dvpcRXkS Article: Altman Infrastructure Plan Aims to Spend Tens of Billions in US Takeaway: The global AI strategy would begin with a major focus on the U.S., while OpenAI's CEO and executives have been engaging with international investors to promote the initiative. Source: Bloomberg News Link: https://lnkd.in/dRvizG7M Article: Europe’s PE investment by outside players is on the upswing Takeaway: According to PitchBook data through August 20, investors from outside the region have poured $154.6B into 860 deals this year. This brings the total close to last year's figure of $165.2B, with a quarter of the year still to go. Source: PitchBook Link: https://lnkd.in/dRzQHfB8 #news #business #research #ai

🚀💸 Did you hear? #PrivateEquity firm PartnerOne just scooped up #HeadSpin for a mere $28M, a massive drop from its former $1.1B valuation! 📉🔍 What's going on with tech valuations? 🔥 Once assessed at $1.1 billion by giants like ICONIQ & Dell, #HeadSpin's valuation plummeted, culminating in a sale at only 2.5% of its peak. 📉 The backdrop is dramatic: its founder faced fraud charges, shaking investor confidence. Despite the turmoil, HeadSpin reported a $21M revenue in 2023 and $5M in Q1 2024. 🤔⚡In the volatile world of tech startups, this tale serves as a cautionary reminder of the delicate balance between growth, governance, and valuation. Entrepreneurs and investors alike should monitor governance closely, ensuring transparency and compliance can shield your ventures from similar fates. 📊💼 What are your thoughts on safeguarding investments in high-growth tech firms? Have you experienced valuation challenges in your business? 👍 or 👎? 🔗🗨️ Share your ideas below and let’s discuss robust investment strategies! #Investment #BusinessGrowth #RiskManagement #Technology #Startups #BusinessStrategy #CorporateGovernance 👇👇👇

Understanding valuation concepts is crucial for startup founders looking to secure funding. A commonly practiced strategy is utilizing pre-money and post-money valuations when negotiating with investors. This approach provides a framework for understanding the worth of your company at different points in time. Following this strategy offers key benefits, including a clearer viewpoint on equity distribution and a foundation for negotiation. It helps founders grasp their diluted ownership after funding rounds, enabling informed decision-making. However, there are risks involved. An inflated pre-money valuation may lead to a down round in future funding if growth expectations aren’t met, which can harm morale and investor confidence. On the other hand, opting for a more conservative valuation approach can present an attractive opportunity for investors, potentially leading to better deal terms. The downside is that it may limit the funding received, restricting growth initiatives. A balanced approach would involve combining insights from both pre-money and post-money valuation methods. By maintaining realistic expectations while presenting strong growth potential, founders can negotiate effectively and retain a more favorable ownership percentage. As you prepare for your next funding round, be sure to thoroughly understand your company's worth and be clear about how pre- and post-money valuations interplay. Contact us to discuss how we can assist you in this challenging journey.