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- Amazon's $1.7 B Acquisition Deal Cancelled & World's Most Valuable Edtech Startup Reduce Valuation by 99%
Amazon's $1.7 B Acquisition Deal Cancelled & World's Most Valuable Edtech Startup Reduce Valuation by 99%
Venture Daily Digest - 30/01/2024
Venture Daily Digest
January 30, 2024
👋 Hey, Sahil here! Welcome to today’s Venture Daily Digest Newsletter. Every day I share updates on startup funding, new VC funds launched and tech to read in 5 mins! Today we have major updates on -
Amazon cancels $1.7B iRobot deal due to EU regulations; iRobot gets $94M termination fee.
Y Combinator president, Garry Tan, sparked controversy with profanity-laden posts on social platform X.
Byju's, the world's most valuable edtech startup cutting its valuation by 99%.
Featured Article : A Simple Paragraph Every Entrepreneur Should Add to Their Convertible Notes!
What Do You Think: European VC Data?
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💰 MASSIVE FUNDING UPDATES
Mobile GIS Services, a Liverpool, UK-based provider of geospital software for utility companies, raised £600K in funding. The investor was NPIF – Mercia Equity Finance, managed by Mercia and part of the Northern Powerhouse Investment Fund. More Here
Rebellions, a South Korean fabless AI chip startup, said today it has closed $124 million (165 billion KRW) in a Series B round of funding led by KT, the South Korean telecom giant. More Here
Compa, a Newport Beach, CA-based compensation market data provider, raised $10M in Series A funding. The round was led by Storm Ventures with participation from Penny Jar Capital, Indeed Ventures, NJP Ventures, Base10 Partners, and Acadian Ventures. More Here
Yume’s platform helps manufacturers turn potential food waste into money, has raised $2 million AUD (about $1.3 million USD) seed funding, raised from venture firm Investible’s Climate Tech Fund, which focuses on the Asia-Pacific region. More Here
Carry1st, a Cape Town, South Africa-based game publisher and a provider of a digital commerce platform, received a strategic undisclosed investment from Sony Innovation Fund. More Here
BluSmart, an Indian ride-hailing startup that competes with Uber and homegrown rival Ola with its all-electric fleet, has received fresh funding of $25 million from Switzerland-headquartered impact fund ResponsAbility in a mezzanine structure, including partial equity dilution and debt. More Here
UniFAHS, a Bangkok, Thailand-based biotechnology company specialising in phage technology for sustainable agriculture and food safety, raised USD 1.4M in Seed funding. The round was led by A2D Ventures with participation from Asian Development Bank Ventures (ADB Ventures) and InnoSpace. More Here
Alinea Invest, a NYC-based provider of an AI-powered wealth management app for Gen Z women, raised $3.4m in seed funding. The round was led by F7 Ventures and GFR and included Worklife Ventures (Bri Kimmel), FoundersX Fund, Gaingels, and Dropbox co-founder Arash Ferdowsi. More Here
Mesh, a San Francisco, CA-based modern embedded finance solution that makes digital asset transfers and account aggregation seamless, received an undisclosed investment from PayPal Ventures. More Here
Polycorp, an Elora, Ontario, Canada-based manufacturer of engineered elastomer solutions, received an undisclosed investment from Arsenal Capital Partners. More Here
CarbonPool, a Zurich, Switzerland-based carbon credit insurance company, raised $12M in funding. The round was led by Heartcore Capital and Vorwerk Ventures and included HCS Capital, Revent Ventures and others. More Here
Wondercraft, a London, UK-based AI audio content company, raised $3M in Seed funding. The round was led by Will Ventures and backed by Y Combinator, ElevenLabs, Steven Bartlett and other Angels. More Here
Coxwave, a Seoul, South Korea and San Francisco, CA-based provider of an analytics infrastructure empowering builders to create AI-native products, raised $3.5M in funding. Backers included KB Investment, Danal, and Seoul Techno Holdings. More Here
Carcinotech, an Edinburgh, Scotland, UK-based 3D printed micro-tumour manufacturer, raised £4.2M in funding. The round was led by Eos Advisory, alongside the Investment Fund for Scotland (IFS). More Here
Hatch Africa, a poultry supplier targeting underserved rural households across Africa, raised $9.5M in funding. Hatch Africa The round saw participation from AgDevCo and IDH Farmfit Fund. More Here
akirolabs, a Berlin, Germany-based ProcureTech startup for strategic procurement processes, raised $5M in Seed funding. The round was led by HTGF, OTB Ventures and D11Z, with participation from Fredrick Spalcke, Heiko Schwarz, Markus Ehrle, and Detlef Schu. More Here
Chipmetrics, a Joensuu, Finland-based atomic layer deposition (ALD) technology company, raised €2.4M in Seed funding. The round was led by High-Tech Gründerfonds (HTGF) and OCCIDENT. More Here
💰 VENTURE CAPITAL UPDATES
IPR VC, a Helsinki, Finland-based management company, announced the first closing of its €100M latest film and television production financing fund to date i.e. IPR Fund III. More Here
𝕏 FEATURED: TODAY’S FEATURED ARTICLE
A Simple Paragraph Every Entrepreneur Should Add to Their Convertible Notes !
Young entrepreneurs often get screwed by their angel investors on convertible notes and I know I can’t convince you not to do it so I’d like to offer one simple bit of advice.
When you do a convertible note with a cap that converts into the next round of funding one of the unintended consequences is that if you’re successful and raise at a larger price than your cap the early angels often get “multiple liquidation preferences” on their dollars in. … Read More Here
Source: Google Images
💡 SARTUP’S LATEST BUZZ
Acquisition & Exits
Amazon's $1.7 billion acquisition of iRobot is terminated due to EU regulatory concerns, leading to a $94 million termination fee for iRobot. The company plans a substantial operational restructuring, including layoffs and cost-saving measures. iRobot CEO Colin Angle steps down, and the company aims to save $80-100 million by revising agreements with partners and pausing non-floorcare innovations. More Here
ieDigital, global digital banking software firm run by US based family office has acquired Abaka, a London, UK-based artificial intelligence-driven financial software platform. More Here
H.I.G. Capital, a global alternative asset investment firm, acquired DX Group, a Slough, UK-based provider of a range of specialist delivery services, for an aggregate consideration of £307M. More Here
Quantum5, a Scottsdale, AZ-based provider of a holistic learning ecosystem, acquired Trivie, a Frisco, TX-based provider of a workforce engagement platform that utilizes AI-generative tools to personalize learning content. More Here
Fasanara, a London, UK-based specialist credit asset company that provides a technology platform , acquired a majority stake in Pollen VC, a San Francisco, CA-based provider of non-dilutive working capital to the mobile gaming/app sector. More Here
Layoffs & Shutdown
iRobot, Massachusetts-based company layoff 350 employees due to funding crunch and amazon’s iRobot deals cancelled. More Here
Nestlé, The food and beverage giant announced the layoffs of 216 employees from its Solon factory on Monday. In a press release, Nestlé said the layoffs are meant to "continue to deliver quality products to consumers at competitive prices." More Here
Startups & People
Byju's, the world's most valuable edtech startup, is seeking to raise $200 million in a rights issue, cutting its valuation by 99% to around $220-225 million. The move aims to address funding challenges and prevent further value impairment, with Byju's founders investing $1.1 billion in the last 18 months. The rights issue comes amid a funding crunch, and those not participating risk losing their entire equity position in the Bengaluru-based company. More Here
Y Combinator president, Garry Tan, sparked controversy with profanity-laden posts on social platform X directed at San Francisco supervisors, later apologizing for the offensive language. Tan, known for his success in Silicon Valley, has faced criticism for previous combative behavior on social media, raising questions about the appropriateness of such conduct from the leader of a prominent startup program. More Here
🤖 LATEST IN EMERGING TECH
Italy's data protection authority, Garante, has informed OpenAI of suspected GDPR violations related to its AI chatbot, ChatGPT. The authority has given OpenAI 30 days to respond to the allegations, which include concerns about the lack of a legal basis for personal data collection and processing. OpenAI believes its practices align with GDPR and plans to work constructively with the Garante to address the issues. More Here
📰 TODAY’S MUST READ ON: STARTUP, TECH & VC
🤔 WHAT DO YOU THINK?
Yesterday’s Poll: It’s a tie. The answer is - In 2023, 698 VC-backed companies were acquired. You can read more about the current M&A outlook here.
Just like in the US, European VC deal value took a tumble in 2023, falling 45.6% year-over-year. How much value did European VCs generate in 2023? |
📬 Newsletter / Channels That You Might Be Interested
Tech Voyage: Get Daily Updates on Trendy Tech Innovation To Read In 5 Mins.
Transacted: Get the latest trends and transactions with the Street’s most informative M&A update.
That’s It For Today! Will Meet You Tomorrow!
Happy Tuesday! 🥂
✍️Written By Sahil R | Venture Crew Tea
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