Private Equity
Taxelco, a transportation holding company founded by Canadian growth equity firm XPND Capital, has acquired Taxi Diamond, the largest taxi fleet in Montréal. No financial terms were disclosed for the deal, which will see Taxi Diamond's existing management team remain in place. Taxi Diamond will join two other Taxelco brands: Taxi Hochelaga, acquired last year; and Téo Taxi, an electric taxi service that recently secured financing from XPND. The brands currently manage a combined fleet of 1,720 vehicles. XPND is led by Managing Partner Alexandre Taillefer. The firm closed its second fund, XPNDCroissance Fund, at $75 million in March.
3 min read · 09 August 2016
Series B rounds are getting harder to complete these days, or at least so goes the common wisdom among U.S. venture capitalists. Soft exit markets and retreating valuations have combined to set the stage for skittish deal-making. Trouble is the investment numbers in the United States so far this year don’t reflect the caution. B-round, or expansion-stage, activity has remained surprisingly consistent over several quarters, and round size through the first half actually ticked higher.
2 min read · 09 August 2016
Kepler Communications Inc has raised $5 million in a seed-stage financing. U.S. venture capital firm IA Ventures led the round and was joined by Liquid 2 Ventures, Techstars, Globalive Capital, BDC Capital and a number of angel investors. Based in Toronto, Kepler is a satellite telecommunications service provider that is launching a real-time network for connecting terrestrial and in-space assets via low-cost small satellites. It plans to use the funds raised to launch satellites and deploy an initial service by the second half of 2017. Kepler is led by CEO Mina Mitry, who helped establish the company last year.
2 min read · 09 August 2016
Investor backing for agriculture technology startups cooled in the first half of 2016 after record global investment last year, Reuters reported. Funding from venture capitalists and others totaled US$1.8 billion through the first six months of the year, down 20 percent from a year earlier, while the number of deals rose 7 percent to 307, ag investment platform AgFunder said. The pullback was in line with the broader venture capital market.
2 min read · 09 August 2016
Montréal-based business messaging app Smooch Technologies Inc has secured $10 million in seed-stage financing. The round was led by Canadian venture capital firms Real Ventures and iNovia Capital, and joined by TA Associates and the startup's founders. Spun out of Radialpoint last year, Smooch provides a messaging platform that allows businesses to converse with users on mobile and the web, creating customer engagement and mobile commerce opportunities. It will use the funds raised to expand support for consumer messaging channels and business software vendors, and to build its team. Smooch is led by CEO and Co-Founder Hamnett Hill.
3 min read · 08 August 2016
The Bank of Canada wants the country's banks to start a fund that would invest in small- and medium-sized businesses in Canada to help foster better global expansion for domestic companies, Reuters reported, citing a story by the Globe and Mail. The plan would see banks and potentially pension funds and insurers put money into a private sector fund of at least $1 billion that would make debt and equity investments of $2 million to $20 million in Canadian companies.
1 min read · 08 August 2016
Canadian workplace health platform Sprout has secured undisclosed financing. The round, which adds to funds raised in May 2015, was backed by existing investor Telus Ventures and the venture capital arm of Techstars, a U.S. startup accelerator. Based in Toronto and Vancouver, Sprout provides technology-based tools for encouraging employees to follow active lifestyles, as well as tools to help employers measure wellness impacts. It plans to use its partnership with Telus and Techstars to pursue continued growth. Sprout was founded in 2011 by COO Christina Ford and CMO Martha Switzer.
3 min read · 04 August 2016
Startup Canada has partnered with Evolocity Financial Group to launch the Startup Canada Women Founders Fund. The fund, the size of which was not disclosed, will provide micro-grants to women entrepreneurs and women-led companies across Canada. Applications for grants are open until August 31st. Recipients will also have access to Startup Canada's network, where they can obtain exposure, skills training, mentoring and support. Based in Montréal, Evolocity is a provider of small business financing.
4 min read · 04 August 2016
Vestaron Corp, a U.S. biological insecticide company, has secured US$18 million in a Series D financing. The round was backed by existing investors, including Pangaea Ventures, a Canadian venture capital firm. Based in Kalamazoo, Michigan, Vestaron develops safe and effective bio-insecticides derived from naturally occurring peptides for agricultural and other applications. The company plans to use the funds raised to expand its research and development activity. Pangaea General Partner Keith Gillard is Vestaron's chairman.
3 min read · 04 August 2016
Toronto-based home maintenance app Jiffy has raised $1 million in funding, adding to the $550,000 seed-stage round closed by the startup last fall. Backers of the latest round included Canadian technology investment firm Hedgewood and angel investors Bert Amato, Bryan Kerdman and the Kimel family. Founded last year by Paul Arlin, Jaimie Grossman and Ryan Shupak, Jiffy is an on-demand platform that connects homeowners with home service professionals in real-time. It plans to use the proceeds of the investment to expand its local presence and launch in the Chicago market.
2 min read · 04 August 2016
