Canada

DarwinAI emerges from stealth with $3 mln in seed financing

DarwinAI, a Waterloo-based artificial intelligence (AI) company, has emerged from stealth and closed a $3 million seed-stage financing. The round was led by U.S. venture capital firm Obvious Ventures and Canadian firm iNovia Capital. They were joined by angel investors from Creative Destruction Lab. Founded last year by University of Waterloo alumni, including Chief Scientist Alexander Wong and CEO Sheldon Fernandez, co-founder of Infusion, DarwinAI's platform uses AI to reduce the complexity in designing and building deep neural networks for real-world applications. DarwinAI said it will use the funds raised to bring its technology to market.

Feldan Therapeutics nabs $12.5 mln in GC-led Series A round

Québec City-based biotechnology company Feldan Therapeutics has raised $12.5 million in a Series A financing. The round was led by GC, the parent of South Korean protein therapeutics maker GC Pharma. It was joined by Stonebridge Ventures as well as Anges Québec and Anges Québec Capital, both existing investors, and others. Led by CEO Francois-Thomas Michaud, who helped launch the company in 2007, Feldan is developing a pipeline of therapeutic applications based on the Feldan Shuttle, its peptide intracellular delivery technology. The funds raised will support pre-clinical work that will enable the transfer of Feldan's technology to clinical trials.

OMERS Ventures' Prashant Matta joins Panache Ventures as partner

Canadian early-stage venture capital firm Panache Ventures has recruited Prashant Matta as a partner. Operating from Toronto, Matta will lead Panache's regional deal and fund management activities. Matta joins Panache from OMERS Ventures, where for more than three years he served on the investment team. Before then, he was a manager in Samsung Electornic's Global Strategy Group. Montréal-based Panache, launched in 2017 by former 500 Startups Canada principals, earlier this year raised $25 million in the first close of its inaugural seed fund.

Responsive raises $1.1 mln in Plug and Play-led seed round

Responsive, a Vancouver-based wealth advisor solution for financial institutions, has raised $1.1 million in seed-stage financing. The round was led by Plug and Play Ventures, a U.S. venture capital firm. Founded in 2015 by CEO Davyde Wachell, Responsive's technology uses machine learning to provide insights from real-time data to wealth managers, helping them anticipate client needs and improve performance. The startup will use the funds raised to further develop intellectual property based on new developments in artificial intelligence and behavioural sciences, and run pilots with financial institutions.

VC-backed Vendini buys ticketing software provider Boxxo

U.S. live event management platform Vendini has acquired Boxxo, a ticketing software company based in Montréal. No financial terms were disclosed. Founded in 2000 by President Bernard Boissonneault, Boxxo helps theatre, cultural, sports and leisure organizations in Québec sell tickets. San Francisco-based Vendini said the acquisition expands its customer base and footprint in the Canadian market. Vendini is backed by Level Equity Management, a U.S. growth equity firm.

Mystery thrillers to venture capital: the power of diverse collaborations

You’ve likely read about the intangible benefits of collaborating. But what about the tangible benefits? In a PE Hub Canada feature article, Karen Fisman, director of communications at FirePower Capital, notes recent research reveals that diverse collaborations yield measurable positive returns, including improved financial outcomes for venture capitalists. Indeed, across sectors, from publishing to finance, it appears that diverse collaborations do (literally) pay off, she writes.

CIBC Innovation Banking provides growth funding to Embotics

Embotics, an Ottawa-based provider of multi-cloud management software, has entered into a credit facility agreement with CIBC Innovation Banking. No financial terms were released. Founded in 2006 by President Jay Litkey and led by CEO Michael Torto, Embotics' platform helps enterprise information technology and managed service providers to automate and control their virtualized and cloud environments. The funds raised will support the company's client acquisition and growth in new markets. Embotics' investors include U.S. growth equity firm Arrowroot Capital, which invested $12.1 million in 2016.

VC-backed Bonfire to be acquired by U.S. SPAC for $140 mln

Bonfire Interactive Ltd, a Waterloo-based public sector sourcing technology provider, has agreed to be acquired by GTY Technology Holdings Inc (Nasdaq: GTYH) for about $140 million (US$108 million). The deal, expected to close in Q1 2019, will see Bonfire merge with five other platforms, creating a listed North American software company focused on the government sector. Bonfire was founded in 2012 CEO Corry Flatt and CTO Alex Millar. Last year, the company closed an $11 million Series A financing led by Battery Ventures and joined by Crosslink Capital and Spider Capital. GTY, a U.S. special purpose acquisition company (SPAC), raised US$552 million in its initial public offering in 2016.

Investor relations platform Q4 raises $50 mln in Series C round

Q4 Inc, a Toronto-based provider of cloud-based investor relations (IR) and capital market solutions, has raised close to $50 million (US$38 million) in a Series C financing. The round was led by U.S. private equity firm Napier Park Financial Partners and joined by existing investors, including OpenText Enterprise Apps Fund, Information Venture Partners and Espresso Capital. Founded in 2006 and led by CEO Darrell Heaps, Q4 provides a range of IR solutions, such as analytics, CRM, website, webcasting and professional services, to help customers better communicate with investors. It said the funds raised will be used to further develop the platform, expand global sales and marketing, and pursue acquisitions.

Finhaven Technology lands $6.7 mln in Dunamu-led Series A

Finhaven Technology Inc has secured about $6.7 million (US$5.13 million) in a Series A financing. The round was led by Dunamu & Partners, the venture capital arm of South Korea's Dunamu Inc. Lanebury Growth Capital, Medici Leading Enterprise Fund, TheVentures and two individuals also invested. Vancouver-based Finhaven is building an investment banking platform that provides an end-to-end solution for issuing, investing and trading regulatory compliant digital securities. It will use the funds raised for product and business development. Earlier in 2018, Finhaven closed a $1.3 million seed-stage financing with Medici.