The Scherzer Deal Report: September 21-27, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
Kindred Capital London, England £81 m Second fund
L Squared Capital Partners Newport Beach $500M Third growth equity fund
Longitude Capital Boston, MA and Greenwich, CT $585 m Fourth fund

Private Equity Investors Company  Amount Description
KKR 1-800 Contacts Undisclosed Draper, Utah-based contact lens retailer
Thomas H. Lee Partners, Frazier Healthcare Partners Adare Pharma Undisclosed Lawrence Township, NJ-based specialty contract development and manufacturing organization
Gridiron Capital AML RightSource $426.5M Cleveland, OH-based outsourced provider of anti-money laundering and financial crime compliance software
Polaris Partners ARInsights Undisclosed Florida-based provider of SaaS to the analyst relations market
Vector Capital  Patron Undisclosed Wexford, PA-based provider of live and virtual event technology solutions
Odyssey Investment Partners ProPharma Undisclosed Overland Park, KS-based provider of compliance-related pharma services
TCG SketchyMedical $30M Los Angeles, CA-based online medical education company that leverages visual memory techniques
Palladium Equity Partners Trachte USA Undisclosed Oregon, WI-based provider of engineered buildings and hardware for housing electrical and other equipment
The Carlyle Group TriNetX Undisclosed Cambridge, MA-based health research network
The Orogen Group Westcor Undisclosed Maitland, FL-based land title insurance company
Microsoft ZeniMax Media $7.5B Rockville, MD-based parent company of game publishers like Bethesda

Venture Capital Investors Company  Amount Description
Group 42,  BP Ventures Beyond Limits $113M Los Angeles, CA-based industrial AI company
T. Rowe Price, Tiger Global, NEA, Bessemer Venture Partners, Greenspring Associates Bright Health $500M Minneapolis, MN-based health plan startup
Wilshire Lane Partners, Hanaco, Norwest Venture Partners, 8VC, Maveron Common $50M New York-based co-living company
D1 Capital Partners  Goat $100M Los Angeles, CA-based online and physical reseller of collectible sneakers
Canapi Ventures, TTV Capital, Bond, DST Global, Goodwater Capital, Fin VC, Relay Ventures Greenlight Financial $215M Atlanta, GA-based provider of a fintech app and debit card for kids
Goodwater Capital, Founders Fund, Floodgate, Raine Ventures IRL $16M San Francisco, CA-based event discovery startup
Boehringer Ingelheim Venture Fund, Epidarex Capital, Santé Ventures, Yonjin Venture, Dolby Family Ventures, Sixty Degree Capital Libra Therapeutics $29M San Diego, CA-based biotech focused on ALS and other neurodegenerative diseases
Aisling Capital, HBM Healthcare Investments, Cormorant Asset Management, GV, Amzak Health, Casdin Capital, Sixty Degree Capital, Cambridge Asset Management, NEA Monte Rosa Therapeutics $96M Boston, MA-based developer of precision medicines to degrade disease-causing proteins
CapitalG, Munich Re Next Insurance $250M Palo Alto, CA-based digital insurer for small businesses
FP Credit, Oak HC/FT, IA Capital Group NextCapital $30M Chicago, IL-based digital service for retirement planning
Arch Venture Partners, Bluebird Ventures Nutcracker Therapeutics $60M Emeryville, CA-based developer of mRNA therapeutics
Mithril Capital, Marvell, BlackRock, Fidelity, Temasek, Atlantic Bridge, Redline Capital,  Capricorn Investment Group, Dell Technologies Capital, Mayfield, Nepenthe, WRVI Capital Nuvia $240M Santa Clara, CA-based chip design startup
Lightspeed Venture Partners, Reach Capital, USV, SV Angel, FundersClub, YC Outschool $45M San Francisco, CA-based live video platform for online classes
Samsara BioCapital, Roche Venture Fund, Medicxi, Osage University Partners Palladio Biosciences $20M Horsham, PA-based drugmaker focused on orphan kidney diseases
Valar Ventures, Rosecliff Ventures, Afore Capital, RiverPark Ventures, Great Oaks VC, GR Capital, Nelstone Ventures, Abstract Ventures, Ride Ventures, Gramercy Fund, Adventure Collective, Starta Ventures Petal $55M New York-based credit card startup
Josh Buckley, Sequoia Capital Global Equities, Sozo Ventures, Caffeinated Capital, KSK Angel Fund, Mistletoe Singapore, Digital Garage, Will Smith’s Dreamers, Makers Fund Playco $100M Tokyo- and San Francisco-based mobile gaming startup
Andreessen Horowitz, Sequoia Capital, DST Global, Ribbit Capital, 9Yards Capital, D1 Capital Partners Robinhood $460M Menlo Park, CA-based no-fee digital brokerage
Warburg Pincus Salsify $155M Boston, MA-based commerce experience platform for brands
Foxconn, Corning, E Ink, GIS, MRI SigmaSense $22M Austin, TX-based developer of touch screen performance tech
EcoR1 Capital, Boxer Capital, Fidelity, Nantahala Capital, RA Capital, OrbiMed, USVP, Nextech Invest, Hunt Tech Ventures, Pontifax Silverback Therapeutics $85M Seattle, WA-based developer of immune-modulating drug conjugates
DST Global, Dragoneer, Franklin Templeton SpotOn $60M San Francisco, CA-based provider of payments solutions for SMB
Amazon Climate Fund, Meson Capital, BMW iVentures, JLL Spark, Wind Ventures, Future Shape Turntide Technologies $33M Sunnyvale, CA-based developer of “sustainable” electric motors
NEA and Meritech Capital Partners, Lightstone Ventures,  Perceptive Advisors Willow $55M Mountain View, CA-based maker of wearable breast pumps
Insight Partners, Silversmith Capital Partners Within3 $100M Lakewood, OH-based life sciences collaboration platform

September 29th, 2020|Scherzer Deal Report|

The Scherzer Deal Report: September 11-18, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
Black Unicorn Factory Miami, FL $225M Startup accelerator
Conductive Ventures Palo Alto, CA $150M Second fund
Greenfield Partners Tel Aviv, Israel $150M First fund
Greylock Menlo Park, CA $1B Sixteenth flagship VC fund
KKR New York, NY $11B Fourth Asia-focused fund
Mantis Silicon Valley, CA $35M Debut fund

Private Equity Investors Company  Amount Description
Nvidia Arm c. $40B British chip design firm
JMI Equity Bloomerang Undisclosed Indianapolis, IN-based provider of nonprofit donor management software
Peak Rock Capital Halo Foods Undisclosed U.K.-based maker of cereal bars and other snacks
Highlander Partners Hilo Nutrition Undisclosed Columbus, OH-based maker of pre-workout gummies
Thomas H. Lee Partners Insurance Technologies Undisclosed Colorado Springs, CO-based provider of sales and regulatory automation software to the insurance and financial services industries
Oxford Properties Group, D1 Capital Partners, BentallGreenOak Lineage Logistics $1.6B Colton, CA-based cold storage company
Sun Capital Partners Mancini’s Sleepworld Undisclosed Livermore, CA-based mattress retailer
Warburg Pincus MLM II c. $1B New York-based information services and software platform
Spectrum Equity, Blue Venture Fund, Sandbox PWNHealth Undisclosed New York-based provider of diagnostic testing enablement solutions
GI Partners Sectigo Undisclosed Roseland, NJ-based provider of automated digital identity management and web security solutions
The Carlyle Group Victory Innovations Undisclosed Minneapolis, MN-based maker of high-tech electrostatic sprayers used to disinfect offices, airplanes, and schools
Baring Private Equity Asia Virtusa c. $2B Southborough, MA-based IT consultant
KKR Zwift $450M Long Beach, CA-based indoor cycling and running platform
Clearlake Capital Group Zywave Undisclosed Milwaukee, WI-based SaaS provider of front office insurance solution

Venture Capital Investors Company  Amount Description
Merck Global Health Innovation Fund, Escalate Capital, Peloton Equity, Hamilton Lane, Flexstone Partners, Wave Equity Partners AeroSafe Global $47.5M Rochester, NY-based cold-chain-as-a-service company
GIC, Durable Capital Partners, Lightspeed Venture Partners, Wellington Management, Baillie Gifford, Spark Capital, Founders Fund, Fidelity Affirm $500M San Francisco, CA-based credit card alternative
Thrive Capital, D1 Capital, Benchmark, Coatue Management, Caffeinated Capital, CRV Airtable $185M San Francisco, CA-based coding platform
Canapi Ventures, Felicis Ventures, Avid Ventures, Bessemer Venture Partners, Primary Venture Partners, Eniac Ventures Alloy $40M New York-based identity operating system for financial services
Caisse de dépôt et placement du Québec, JPMorgan, Inovia Capital, Mithril Capital AppDirect $185M San Francisco, CA-based subscription commerce platform
VenBio Partners Attralus $25M San Francisco, CA-based biotech focused on systemic amyloidosis
Torch Capital, Crosscut Ventures, and individual investors Boosted Commerce $87M Los Angeles, CA-based e-commerce brand portfolio
Lewis & Clark AgriFood Brightseed $27M San Francisco, CA-based developer of phytonutrient discovery tech
San Francisco Equity Partners BrüMate $20M Fort  Lauderdale, FL-based DTC provider of insulated drinkware for adult beverages
General Catalyst, EA, PUBG, mixi, Take-Two Interactive, Ubisoft, Supercell, Riot Games, Miniclip, COLOPL, LVP, Northzone, Streamlined Ventures, Konvoy Ventures, OneTeam Ventures, Velo Partners, Golden Venture Partners, Alven Capital Partners Bunch $20M New York-based party app for multiplayer games
Tritium Partners, investors Altos Ventures, Azure Capital, OATV Chairish $33M San Francisco, CA-based online marketplace for home furnishings
DST Gloal, Aspect Ventures, Menlo Ventures Chime $485M San Francisco, CA-based U.S. challenger bank
Georgian Partners, Bessemer Venture Partners, Insight Partners Devo Technology $60M Cambridge, MA-based big data analytics platform
SanofiVentures, Cowen Healthcare Investments, Redmile Group, Perceptive Advisors, The Column Group, 5AM Ventures, Osage University Partners Escient Pharmaceuticals $77.5M San Diego, CA-based biotech focused on neuro-immuno-inflammatory and autoreactive diseases
Baupost Group, Humboldt Fund, MSD Capital, MSD Partners, Octave Group, OMX Ventures, Avenir Growth Capital, OCV Partners, Shumway Capital, SIG, SymBiosis, TPTF, Willett Advisors Finch Therapeutics $90M Somerville, MA-based microbiome drug development company
Versant Ventures led, and was joined by Samsara BioCapital Graphite Bio $45M San Francisco, CA-based gene editing startup focused on sickle cell disease
The Column Group, Two Sigma Ventures, 8VC Hexagon Bio $47M Menlo Park, CA-based synthetic biology platform
Blackhorn Ventures, Tenfore Holdings, Fontinalis Partners, Airbus Ventures, Lockheed Martin Ventures, Presidio Ventures Humatics $30M Waltham, MA-based developer of microlocation sensors for industrial robots
Bain Capital Ventures, Rain Capital, LifeOmic JupiterOne $19M Indianapolis, IN-based cyber asset management automation startup
Wu Capital, Qiming Venture Partners USA, Surveyor Capital, Cormorant Asset Management, MP Healthcare Venture Management, Alexandria Venture Investments, Atlas Ventures, NEA Korro Bio $91.5M Cambridge, MA-based developer of RNA editing therapies
Partech, Maor Investments, YL Ventures, USVP,  Blumberg Capital Medigate $30M Israel and New York-based security and asset management platform for connected care
Insight Partners, Grant Verstandig, Root Ventures, Canaan Partners, DCVC, Haystack nTopology $40M New York-based 3D printing platform for manufacturing
General Catalyst, Drive Capital, Ascension Ventures, Oak HC/FT, SVB Capital Olive $106M Columbus, OH-based provider of health care administration automation software
Matrix Capital Management, Surveyor Capital, SR One, Pfizer Ventures, Vertex Ventures HC, Takeda Ventures, AbbVie Ventures Palleon Pharmaceuticals $100M Waltham, MA-based developer of cancer checkpoint drugs
Lennertz & Co RapidAI $25M San Mateo, CA-based provider of neuroimaging tech for strokes
GV, Deerfield Management, City Light Capital, Town Hall Ventures, Frist Cressey Ventures Ready $54M New Orleans, LA-based provider of on-demand home health care services
Norwest Venture Partners, State Farm Ventures, Atomic, Bloomberg Beta, Costanoa Ventures Replicant $27M San Francisco, CA-based developer of voice chat bots
EQT Ventures, FAM AB Seeqc $22.4M Elmsford, NY-based quantum computing startup
Canaan Partners, Samsara BioCapital, The Column Group Synthekine $82M Menlo Park, CA-based engineered cytokine therapeutics startup
Sapphire Sport, Shasta Ventures, Mayfield, Evolution Media, THVC, L Catterton, Delta-v Capital, Amazon Alexa Fund, Mousse Partners, and individual investors Tonal $110M San Francisco, CA-based connected at-home strength and personal training platform
Truist Ventures Veem $31M San Francisco, CA-based business payments network
Icon Ventures, Harpoon Ventures, Merck Global Health Innovation Fund, Lightspeed Venture Partners, YC Volansi $50M San Francisco, CA-based developer of long-range delivery drones

September 22nd, 2020|Scherzer Deal Report|

Pre-Employment Screening during the Pandemic

It is a standard practice for employers to run background checks on potential new hires. Such checks help employers protect their company by learning about the trustworthiness of the candidate through their financial, criminal, and driving records and education and employment verifications. But the pandemic has affected the operations of many institutions worldwide. From court closures to remote college campuses, it may be more difficult for the screening provider to check a criminal record or verify an educational background. Nonetheless, the possibility of delay should not cause employers to lower the standards of their screening policies.

The most important reason why an employer should not temporarily waive certain parts of a background check is because it may make it harder to justify its necessity in the future. For example, say a court is closed and is unable to provide information on candidates’ criminal history. Because of this, an employer who is anxious to add the new hire to the frontline chooses to waive the criminal check requirement. Well, when a court begins to provide legal information again and an employer decides to reinstate the criminal check requirement, the employer could face compliance issues.

Under current anti-discrimination laws, namely Title VII of the Civil Rights Act of 1964, employers must demonstrate that its hiring practices are “job related” and “consistent with business necessity.” But if an employer chooses to forgo the criminal checks during the pandemic and wishes to reinstate them later, they may be violating this law. Since the criminal check was once suspended, one could argue that the practice was not job related or that it was not a business necessity. Furthermore, streamlining the employment screening process by waiving certain aspects could lead an employer to overlook valuable insight into a candidate’s character. Therefore, while a shorter background check program during the pandemic could bring short-term benefits, it runs significant long-term risks.

So, what are your options?

We have outlined up two possible avenues available to employers during these times.

Hire now (but reserve the right to run future background checks)

If a company is in a position in which new hires are urgently needed, they may hire the candidates based on the information available to them at the time of the background check and reserve the right to conduct additional background checks post-hire, once information providers resume to normal operations. But if an employer takes this route, they must clearly communicate with both their background check provider and the new hire.

They should work with the background check provider to take note of those candidates whose checks are not yet completed so that the provider can easily revisit the report in the future. Employers should also make it clear in an employee’s offer letter that the offer of employment is contingent upon the successful completion of a background check that may occur at a later date.

Delay the hire

For employers who are required by law to complete background checks prior to a new hire’s start date, they may have to delay the worker’s start date. But whether a background check provider can access the required information for an employment screen depends on the location of the various sources of information, from the courthouses to the educational institutions.

All in all, although background checks may take longer during the pandemic, they are, especially now, critical to manage your risk. With the rising number of job seekers and the remote workforce, companies must do what they can to ensure that they are hiring qualified professionals who will be valuable additions to the company.

September 10th, 2020|Employment Decisions|

The Scherzer Deal Report: August 31 to Sep 4, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
Owl Ventures San Francisco, CA $585M $415 million for its fourth early stage fund and $170 million for its first opportunity fund
Xfund Palo Alto, CA $120M Third fund

Private Equity Investors Company  Amount Description
Thoma Bravo Foundation Software Undisclosed Strongville, OH-based provider of construction accounting and payroll software
Trinity Hunt Partners MainStreet Family Urgent Care Undisclosed Birmingham, AL-based urgent care provider
TCV Oversight Undisclosed Atlanta, GA-based spend management platform
Providence Strategic Growth Semarchy Undisclosed San Francisco, CA-based provider of master data management software
Roark Capital  US Sports Camps Undisclosed San Rafael, CA-based operator of over 1,200 youth sports camps across the United States

Venture Capital Investors Company  Amount Description
SoftBank Vision Fund 2 Biofourmis $100M Boston-based maker of wearable biosensors
Hollyport Capital,  Providence Strategic Growth, Toba Capital, Savano Capital Partners Conversica $20M Foster City, CA-based provider of intelligent virtual assistants
Tiga Investments, OTB Ventures, TDJ Pitango Cosmose $15M New York-based data analytics platform for physical retail customer behavior
Partner Fund Management, OrbiMed Erasca $236M San Diego, CA-based precision oncology startup
NewSpring Growth Fashionphile $38.5M Carlsbad, CA-based online resale marketplace for luxury handbags and jewelry
Owl Ventures, Bain Capital Ventures, Uprising, UCSF Foundation Investment Co., Centene Corp Hazel Health $33.5M San Francisco, CA-based provider of telemedicine services to public school students
Caffeinated Capital, Mubadala, Accenture Ventures, Arbor Ventures, Felicis, Ridge Ventures, Bloomberg Beta, Team Builder Ventures InCountry $18M San Francisco, CA-based data residency-as-a-service startup
Stripes Group, Workday Ventures Legion Technologies $22M Redwood City, CA-based workplace management platform
WestRiver Management, Bioeconomy Capital, Avista Development, Columbia Pacific Lumen Bioscience $16M Seattle, WA-based developer of biologic drugs for enteric diseases
Accelmed Partners, Revelation Partners, Soleus Capital, KCK Group, OrbiMed NeuroPace $33M Mountain View, CA-based developer of a neurostimulator for the treatment of focal onset refractory epilepsy
NEA, Wellington Management, Lone Pine, Glade Brook Capital, Thrive Capital, DFJ Growth, Index Ventures Patreon $90M San Francisco, CA-based online patronage platform for artists
Reckitt Benckiser, The Craftory, Straus Group, Emerson Group, Sawaya Capital Pharmapacks $40M e-commerce seller of health and beauty products
 Felicis Ventures, Amplify Partners PicnicHealth $25M San Francisco, CA-based medical records access platform
Adage Capital Management, Averill Master Fund, J.W. Childs Associates Pyramid Biosciences $28M Waltham, MA-based developer of precision therapies focused on the modulation of cell surface receptors
Fidelity Shine Medical $80M Janesville, WI-based medical isotopes producer
Altimeter Capital,  Sutter Hill Ventures, SignalFire, Unusual Ventures Transposit $35M Palo Alto, CA-based platform for helping engineers build disaster recovery runbook

September 10th, 2020|Scherzer Deal Report|

The Scherzer Deal Report: Aug 24-30, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
March Capital Santa Monica, CA $60M Gaming-focused fund

Private Equity Investors Company  Amount Description
KKR Citation Group Undisclosed British provider of subscription-based HR/employment law and health/safety services to SMEs
Brookfield Infrastructure Cheniere Energy $7B Houston, TX-based liquefied natural gas producer
MidOcean Partners Music Reports Undisclosed Woodland Hills, CA-based provider of music rights data and management services
Accel-KKR Navtor Undisclosed Norwegian provider of navigational software for the maritime industry
Kohlberg & Co., Mubadala Investment Co. PCI Pharma Services Undisclosed Philadelphia, PA-based provider of pharma supply chain solutions
Mill Rock Capital Trojan Lithograph Undisclosed Renton, WA-based maker of folding cartons and single-face laminate packaging
TPG, Warburg Pincus Visma Undisclosed Norwegian enterprise software company

Venture Capital Investors Company  Amount Description
RA Capital Management, Lilly Asia Ventures, Boxer Capital, HBM Healthcare Investments, Qiming Venture Partners Connect Biopharma $115M China and San Diego-based developer of therapies for autoimmune diseases and inflammation
Stripes Group, Tiger Global Management Dataiku $100M New York-based Enterprise AI and machine learning platform
Lightspeed Venture Partners, American Express Ventures Finix $30M San Francisco-based payments infrastructure platform
Bain Capital Life Sciences, Perceptive Advisors, Fidelity, Janus Henderson, Farallon Capital Management, Rock Springs Capital, Cormorant Asset Management, EcoR1, Catalio Capital, the Colorectal Cancer Alliance, RA Capital Management, T. Rowe Price, BrightEdge Ventures, Sands Capital, Andreessen Horowitz, DCVC, GV, Kaiser Permanente Ventures, Novartis, Polaris Partners, Roche Venture Fund, Soleus Capital, Section 32 Freenome $270M South San Francisco-based developer of early colorectal cancer testing via blood draw
Bill Gates Kymeta $85.2M Redmond, WA-based developer of satellite communication antennas and systems
Addition, Adams Street Partners, Howard Schultz, Casdin Capital, Glynn Capital, Greylock Partners, IVP, Meritech Capital Partners, Providence Ventures, Tenaya Capital Lyra Health $110M Burlingame, CA-based provider of mental health care benefits for employers
GMAG Holdings Motiv Power Systems $15M Foster City, CA-based maker of electric truck chasses
Insight Partners, Tiger Global, Slack Fund, World Innovation Lab, Gradient Ventures Mural $118M San Francisco-based provider of digital workspaces for enterprise visual collaboration
Bayer One Drop $34.7M New York-based provider of digital solutions for people living with diabetes
HLM Venture Partners, Commonfund, Vivo Capital, Toba Capital, Transformation Capital, SVB PatientPop $50M Santa Monica, CA-based online marketing platform for medical practice
Bain Capital Ventures, TCV,  Francisco Partners, Dell Technologies Capital, Goldman Sachs, Viola Ventures Redis Labs $100M Mountain View, CA-based open source database
KKR, Ten Eleven Ventures, Brian Murphy ReliaQuest $300M Tampa, FL-based enterprise cybersecurity managed service and intelligence platform
Sapphire Ventures, Insight Partners Restream $50M Austin, TX-based startup focused on streaming to multiple platform
Bessemer Venture Partners, Index Ventures,, I2BF Shopmonkey $25M San Jose, CA-based SaaS startup focused on auto repair shops
Sorenson Venturesled, Citi Ventures, Wells Fargo, MVB Financial, Commerce Ventures, Scale Venture Partners, Flint Capital Socore $35M New York-based identity verification startup
St. Baker family office Songtradr $30M Santa Monica, CA-based music licensing platform
Comcast Ventures, 01 Advisors, M12, Atlassian, ServiceNow, Accel, Lightspeed Venture Partners, Harmony Venture Partners Split $33M Redwood City, CA-based feature delivery platform
Bayer, Northpond Ventures, Oceanpine Capital, Viva Biotech Holdings, Bloom Burton & Co., Centre for Commercialization of Cancer Triumvira Immunologics $55M Austin, TX-based cancer therapies developer

September 1st, 2020|Scherzer Deal Report|

The Scherzer Deal Report: July 24-30, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
Adams Street Partners Chicago, IL $1.1B New private credit fund
Gallant Capital Los Angeles, CA $378M Debut fund

Private Equity Investors Company  Amount Description
WindRose Health Investors Caregiver Undisclosed Fort Worth, TX-based provider of long-term care services to people with intellectual and developmental disabilities
Gemspring Capital Cforia Software Undisclosed Westlake Village, CA-based provider of order-to-cash automation software
Clayton, Dubilier & Rice  Cheney Bros Undisclosed Family-owned food distributor serving the Southeastern United States
Tenex Capital Management Consolidated Label Undisclosed Sanford, FL-based provider of custom-printed, pressure-sensitive labels and shrink sleeves
Berkshire Partners CrossFit Undisclosed Washington, DC-based fitness brand
TA Associates and Francisco Partners Edifecs Undisclosed Bellevue, WA-based provider of health care IT solutions
Core Industrial Partners Incodema Undisclosed Merger of Incodema – an Ithaca, NY-based precision sheet metal engineering firm, and Newchem, a Newark, NY-based photo chemical etching manufacturer
Crestview Partners Upwell Water Undisclosed San Francisco, CA-based specialty finance firm focused on the water market
TowerBrook Capital Partners Validity Finance $100M New York-based commercial litigation firm

Venture Capital Investors Company  Amount Description
MSD Partners BioTheryX $35M San Diego, CA-based biotech focused on restoring protein homeostasis
Versant Ventures Bright Peak Therapeutics $35M San Diego, CA-based biotech focused on chemically synthesizing and optimizing proteins
Pitango Growth, Square Peg Capital ClimaCell $23M Boston, MA-based weather intelligence platform
Kleiner Perkins, 01 Advisors, Upfront Ventures, Founders Fund, Ludlow Ventures, Launch, DTA, Alex Rodriguez, LBC Ventures, Julia and Kevin Hartz, Cyan and Scott Banister Density $51M San Francisco, CA-based startup that measures indoor headcount
Gilde Healthcare, Longitude Capital, NEA, the Charles and Helen Schwab Foundation, Nan Fung Life Sciences Eargo $71M San Jose, CA-based medical device startup focused on hearing loss
Accel, Glilot Capital Partners, Norwest Venture Partners, Target Global Ermetic $17.3M Palo Alto and Tel Aviv-based cloud access risk security startup
Zeev Ventures, Dynamic Loop, Emerge, F2 Capital Explorium $31M San Mateo, CA-based data science startup
PXV Fund, Drive Capital Forge Biologics $40M Columbus, OH-based viral vector gene therapy startup
Kayne Partners, 8VC, Fontinalis Partners, Revolution Ventures, Hearst Ventures, Prologis Ventures, Story Ventures, Engage Ventures FreightWaves $37M Chattanooga, TN-based freight data startup
CPT Capital, WTT Investment Geltor $91.3M San Leandro, CA-based animal-free “ingredients-as-a-service” startup
Humana Heal $100M Los Angeles, CA-based physician house call and telemedicine platform
Canaan Partners, Stanford StartX, Root Ventures, Eclipse Ventures, First Round Capital Instrumental $20M Palo Alto, CA-based computer vision startup focused on detecting manufacturing anomalies
Frazier Healthcare Partners, OrbiMed, NEA, IU PhV, BioCrossroads, Twilight Venture Partners MBX Biosciences $34.6M Carmel, IN-based biotech focused on rare endocrine diseases
Argentum, Breakwater Mediant, Compo Seven Capital, Mathers Associates, First Analysis Corp Mediant $18.5M New York-based investor communications platform
The Column Group, Samsara BioCapital, Euclidean Capital Nura Bio $73M San Francisco, CA-based developer of neuroprotective drugs
Flagship Pioneering Omega Therapeutics $85M Cambridge, MA-based epigenomics startup
Eventide Asset Management, Avoro Capital, Surveyor Capital, Point72, Cormorant, Qatar Investment Authority, Irving Investors, Adage Capital Management, Verition Fund Management, Ample Plus Fund, Vida Ventures, Novo Holdings, Blackstone Life Sciences, OCV Partners Praxis Precision Medicines $110M Cambridge, MA-based biotech focused on CNS disorders
Energy Impact Partners, Paladin Capital Group, Cisco Investments Rangeforce $16M Manassas, VA-based cybersecurity training startup
PayU, DN Capital, Generation Investment Management, Owl Rock Capital, Princeville, Stripes, Threshold Ventures, Top Tier Capital Remitly $85M Seattle, WA-based digital remittance company
General Catalyst, The Chernin Group, FirstMark Capital, Torch, SignalFire, TQ Ventures, Initialized Capital, 3L, BoxGroup Ro $200M New York-based DTC pharmacy focused on men’s health
BlackRock, Deerfield Management, Moore Capital Sema4 $120M Stamford, CT-based health intelligence company
GIC, Silver Lake Waterman, Andreessen Horowitz, Index Ventures, Spark Capital, USV Stack Overflow $85M New York, NY-based coding Q&A site
Norwest Venture Partners, General Catalyst Tempo $60M Connected home gym startup
Casdin Capital, Section 32, Bain Capital Life Sciences, Brown Advisory, Driehaus Capital, Intermountain Ventures, Janus Henderson Investors, Lux Capital, Moore Strategic Ventures, Perceptive Advisors, Rock Springs Capital, Sands Capital, T. Rowe Price Thrive Earlier Detection $257M Cambridge, MA-based early cancer detection startup
Khosla Ventures, Centana Growth Partners True Link Financial $35M San Francisco, CA-based provider of digital financial services targeting retirees
CoVenture, GPS Partners, Golden Ventures, Sweet Capital $32M Los Angeles, CA-based interactive sports media platform

July 31st, 2020|Scherzer Deal Report|

Client Alert: EU Court of Justice Invalidates the EU-US Privacy Shield

An important and unexpected ruling was handed down by the Court of Justice of the European Union (CJEU) on July 16, 2020, in Data Protection Commissioner v Facebook Ireland Ltd and Maximillian Schrems (“Schrems II”) that invalidates the EU-U.S. Privacy Shield (“Privacy Shield”) arrangement. Since 2016, the Privacy Shield provided U.S. companies with a mechanism to comply with the General Data Protection Regulation (GDPR) requirements when transferring personal data from the European Union to the U.S.

What this means

Now companies that subscribed to the Privacy Shield must find another GDPR-compliant solution for the transfer of data. The European Data Protection Board indicated in its July 23, 2020 FAQs that it will not be providing a grace period as the authorities had done for the EU-U.S. Safe Harbor (“Safe Harbor”) framework following the “Schrems I” decision.

Notably, the CJEU’s decision expressly stated that the standard contractual clauses (SCCs) previously promulgated by the European Commission (EC) are still a valid tool for data transfers from the EU to the United States. The SCCs are sets of contractual terms and conditions that the controller and the processor of the data both execute to comply with GDPR’s requirements.  However, the CJEU’s decision does not give blanket approval to the SCCs–the decision acknowledged that future challenges to SCCs are permissible by the local data enforcement agency for any EU-member state. For example, an EU-member state might prohibit or suspend exports of personal data from its country under SCCs, if the member state concludes that the SCCs are not or cannot be complied with in the recipient third country (such as the U.S.) because of the member state’s local legal requirements.

The CJEU did not directly reference binding corporate rules (‘BCRs’) which are used for intragroup data transfers and require prior approval of the competent data protection authority. For now, this means that BCRs remain a valid transfer mechanism under the GDPR as BCRs are of a similar nature to  SCCs (both are considered an “appropriate safeguard” pursuant to Article 46 GDPR).

For some situations, an alternative is to look to the narrow derogations under Article 49 of the GDPR, such as to perform a contract or base the transfer on the subject’s explicit consent.  

What happens next

When the adequacy of the Safe Harbor was invalidated by the CJEU in 2015, the U.S. Department of Commerce (DOC) and the EC had already been negotiating for an updated trans-Atlantic program for many months. With Schrems II, and although the DOC and EC have indicated that lines of communication are open, the discussions are not nearly as advanced. And the issues cited by the CJEU in Schrems II may require some form of legislative and not merely an administrative action to address. As such, the process to revamp the Privacy Shield is unlikely to be concluded any time soon.  

The DOC, in a press release in response to the CJEU’s decision, and later in its updated Privacy Shield FAQs, stated that it will continue to administer the Privacy Shield program, including processing submissions for self-certification and re-certification and maintaining the participants’ list. The DOC emphasized that the CJEU’s decision “does not relieve participating organizations of their Privacy Shield obligations.”

The UK’s Data Enforcement Agency also issued a statement advising companies to continue using the Privacy Shield until new guidance becomes available but added that companies “do not start using the Privacy Shield during this period.”

Stay tuned for more regulatory guidance and other developments in the next few weeks.

Disclaimer: This is not legal advice. The resources and information provided here are for educational purposes only. Consult your own counsel if you have legal questions related to your specific practices and compliance with applicable laws.

July 30th, 2020|Judgment|

The Scherzer Deal Report: July 8-14, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

PE and VC Firms Fundraising Location Amount Description
Actis London, UK $2.9B Fifth renewable energy fund
DCM Menlo Park, CA $880M Tenth fund
Engineering Capital Palo Alto, CA $60M Third fund
Navegar Philippines $197M Second fund
The Blackstone Group New York, NY $4.6B Debut life sciences fund
TrueBridge Capital Partners Chapel Hill, NC $600M Sixth VC fund-of-funds

Private Equity Investors Company  Amount Description
HgCapital  F24 Undisclosed Pan-European emergency notification provider
Madison Dearborn Partners Benefytt Technologies $410M Tampa, FL-based health insurance tech provider
Sonoma Brands Chef’s Cut Real Jerky Co. Undisclosed New York-based meat snacks brand
KKR  Global Atlantic Financial Group $4.4B Bermuda-based retirement and life insurance company
Round Table Capital Partners Hull & Associates Undisclosed Midwest and Mid-Atlantic-based environmental and engineering consultancy
KCM Capital Partners Mason West Undisclosed Placentia, CA-based provider of engineered seismic restraint and vibration isolation products
H.I.G. Capital Project Informatica Undisclosed Italian IT consultant
Parthenon Capital RxSense Undisclosed Boston, MA-based provider of prescription savings solutions to consumers and pharmacy benefits administrators
Align Capital Partners WilliamsMarston Undisclosed Boston and New York an accounting advisory and management consulting firm

Venture Capital Investors Company  Amount Description
T. Rowe Price, Pinnacle Bank Apiture $20M Digital banking experience startup
General Atlantic Doctor On Demand $75M San Francisco, CA-based virtual care provider
S2G Ventures, Cox Enterprises, Skyline Global Partners, Bunge Ventures, Finistere Ventures Growers Edge $40M Johnston, IA-based provider of fintech products for farmers
Hudson Bay Capital, OrbiMed, Country Garden VC, GTJA Investment Group, Octagon Capital, Sage Partners Harbour BioMed $103M Massachusetts and China-based cancer drug startup
Two Bear Capital Inimmune $22M Missoula, MT-based developer of adjuvants for vaccines
Undisclosed Karma Automotive $100M Reincarnation of electric carmaker Fisker Auto
General Catalyst, Khosla Ventures, Eldridge, Manta Ray Ventures, Tiny Blue Dot, Johnson Kernel $53M Los Angeles, CA-based neuroscience startup
Perceptive Advisors, RRE, GV, Freemark Capital Kindbody $32M New York-based provider of women’s fertility services,
Emergence Capital, TI Platform Management, Radianx Capital, Top Tier Capital, Trend Forward Capital, Initialized Capital, Providence Equity LogDNA $25M Mountain View, CA-based startup focused on simplify server data logging
Volition Capital,  Greycroft, Horsley Bridge, Lerer Hippeau Medly Pharmacy $100M New York-based digital pharmacy
ABB Technology Ventures, NanoDimension Capital, Volta Energy Technologies, Chevron, Khosla Ventures, Prelude Ventures Natron Energy $35M Santa Clara, CA-based developer of sodium-ion batteries
The Blackstone Group , Howard Schultz, Oprah Winfrey, Roc Nation, Natalie Portman, Orkila Capital, Rabo Corporate Investments Oatly $200M Swedish oat milk company
Goldman Sachs Merchant Banking, Healthcare Venture Partners Paige $70M New York-based computational pathology startup
CPP Investments, Temasek, Horizons Ventures Perfect Day $160M Animal-free dairy
T. Rowe Price, Soros Fund Management, Fidelity, Baron Capital, Amazon, BlackRock Rivian $2.5B Plymouth, MI-based electric truck-maker
TSG Consumer Partners, IVP Robinhood $320M No-fee digital brokerage
Next47,  Levitate Capital, NTT Docomo Ventures, Andreessen Horowitz, IVP, Playground VC Skydio $100M Redwood City, CA-based autonomous drone developer
Ping An, JPMorgan, Prosperity7 Ventures, Zouk Ventures Taulia $60M San Francisco, CA-based B2B payments platform
CIC Partners, Morgan Stanley Expansion Capital, Dirk Nowitzki, Kendra Scott Tiff’s Treats $15M Austin, TX-based warm cookie delivery brand
Remiges Ventures, SR One, Vivo Capital, Hillsborough Venture, Correlation Ventures Tranquis Therapeutics $30M San Mateo, CA-based immuno-neurology startup
TI Platform Fund, Optum Ventures, Initialized Capital, Sound Ventures Truepill $25M San Mateo, CA-based digital pharmacy startup
Alkeon, Accel, Coatue, Dragoneer, IVP, Madrona Venture Group, Sequoia Capital, Tencent, Tiger Global, Wellington, T. Rowe Price UiPath $225M New York-based developer of robotic process automation software
Matrix Capital Management, Surveyor Capital, Adage Capital, Cormorant Asset Management, Farallon, Foresite Capital, Janus Henderson, Logos Capital, OrbiMed, T. Rowe Price, Venrock, Viking Global Investors, Wellington Management, Arix Bioscience, Decheng Capital, Pappas Capital, Sofinnova Ventures, Takeda Ventures VelosBio $137M San Diego, CA-based developer of antibody drug conjugates to treat cancers
Walgreens Boots Alliance VillageMD $1B Chicago, IL-based primary health care provider
RA Capital Management, Fidelity, Pagliuca Family Office, Alexandria Venture Investments, 5AM Ventures, Johnson & Johnson Innovation, Osage University Partners, PureTech Health Vor Biopharma $110M Cambridge, MA-based engineered cell therapy startup

July 17th, 2020|Scherzer Deal Report|

Congratulations to Jessica Staheli on being selected for LABJ’s Leaders of Influence: Private Equity Advisors

Jessica Staheli

Executive Vice President
Scherzer International
Direct: 818.227.2598
Mobile: 818.337.9513

Link to the article:

July 7th, 2020|SI Information|

The Scherzer Deal Report: June 23-29, 2020

Here is this week’s Deal Report for private equity and venture capital activity for US-based PE and VC firms and portfolio companies, brought to you by Scherzer International.

The Scherzer Deal Report is released on Tuesdays.

PE and VC Firms Fundraising Location Amount Description
1868 Ventures Columbus, OH $50M Scotts Miracle-Gro launched a $50 million corporate venture arm
Addition New York, NY $1.3B Debut VC fund led by ex-Tiger Global investor Lee Fixel
KKR New York, NY $10B Third Asia buyout fund

Private Equity Investors Company  Amount Description
Ridgemont Equity Partners American Safety Council Undisclosed Orlando, FL-based provider of mandatory training, education, and certification solutions to regulated end market
Charlesbank Capital Partners  Aptean Undisclosed Alpharetta, GA-based ERP software company
HGGC, Level Equity Aventri Undisclosed Norwalk, CT-based provider of event management software
Elm Street Technology IDX Broker Undisclosed Eugene, OR-based provider of real estate search applications and marketing solutions
Flagship Pioneering, Alaska Permanent Fund, Riverstone Holdings Indigo Ag $300M Charlestown, MA-based developer of crop sustainability and selling solutions
Investindustrial Knoll $164M East Greenville, PA-based furniture maker
The Carlyle Group  Piramal Pharma $490M Indian drugmaker
The Carlyle Group Unison Undisclosed Dulles, VA-based provider of procurement and contract management software to federal government agencies and contractors
Bain Capital  Virgin Australia Holdings Undisclosed Largest Australian airline by fleet size to use the Virgin brand
Warburg Pincus WEX Inc. $400M Portland, ME-based corporate credit card provider
Clearlake Capital Group WhiteStar Asset Management Undisclosed Dallas, TX-based CLO specialist

Venture Capital Investors Company  Amount Description
5AM Ventures, venBio Partners, RA Capital Management, Medivate Partners, GC LabCell, and GC Artiva Biotherapeutics $78M San Diego, CA-based developer of allogeneic natural killer cell therapies
Insight Partners, New Leaf Venture Partners, Eclipse Ventures BrightInsight $40M San Jose, CA-based regulated digital health platform for biopharma and medtech
Andreessen Horowitz, Kaiser Permanente, Kinnevik, Thrive Capital, Lakestar, Founders Fund Cedar $102M New York-based health care financial engagement platform
Craft Ventures, Georgian Partners ClickUp $35M San Diego, CA-based project management app
Barclays, Citi, Fidelity, Goldman Sachs, J.P. Morgan, Morgan Stanley, Canaccord Genuity, Franklin Templeton, StageDotO, Shea Ventures CMG $25M New York-based provider of workflow and real-time data analytics for capital markets transactions
FTV Capital Derivative Path $35M San Francisco, CA-based provider of solutions for OTC interest rate derivative and for-ex transactions
Optum Ventures, Oak HC/FT, Humana, Alta Partners, Questa Capital, Echo Health Ventures DispatchHealth $136M Denver, CO-based in-home health care startup
Activate Capital, Forte Ventures, Evonik VC, Kerogen Digital Solutions, High Tide Foundation, Kleiner Perkins Green Growth, Ajax Strategies, Blue Bear Capital, Schneider Electric Ventures, Honeywell Ventures, ABB Tech Ventures Element $18M San Francisco, CA-based “industrial data hub”
Bill & Melinda Gates Foundation, Finistere Ventures, Novalis LifeSciences, Germin8 Ventures, TO Ventures Food, Anterra Capital,  Rabo Food & Agri Innovation Fund Enko Chem $45M Woburn, MA-based developer of crop protection solutions
MCIF, APF, Sayan Bioventures, BioStar Capital, Kairos Ventures, Caltech Foldax $20M Salt Lake City, UT-based artificial heart valve developer
Point Ventures, Initialized Capital, Founders Fund, SaaStr, House Fund HelloOffice $20M San Francisco-based commercial real estate brokerage making
Intel Capital, DFJ Growth, Dell Technologies Capital, Greycroft, Drive Capital, Citi Ventures Immuta $40M Boston-based automated data governance startup
8VC, Round13 Capital, Citi Ventures, Spark Capital, ScaleUp, Slack Fund Nylas $25M San Francisco, CA-based provider of communications APIs for developers
Wafra, Breyer Capital, LiveOak Venture Partners, Royal Bank of Canada, Northwestern Mutual Future Ventures OJO Labs $62.5M Austin, TX-based maker of an AI assistant for the real estate industry
Obvious Ventures, Gradient Ventures, Point Judith Capital Openly $15M Boston, MA-based homeowners insurance platform
Fin VC, Tribe Capital, Uncorrelated Ventures, Lachy Groom, Anthemis, Craft Ventures, Fika Ventures, MaC Ventures Pipe $60M Los Angeles, CA-based SaaS subscription financing platform
Andreessen Horowitz, Accel, 468 Capital, Basis Set Ventures, Mango Capital Rasa $26M San Francisco, CA-based chatbots platform
Arch Venture Partners, Flagship Pioneering, CPPIB, Baillie Gifford, F-Prime Capital, Alaska Permanent Fund, PSP Investment Board, Bezos Expeditions, GV, Omega Funds, Altitude Life Science Ventures Sana Biotechnology $700M Seattle, WA-based gene regulation startup
Providence Strategic Growth SevenRooms $50M New York-based provider of hospitality guest management software
WuXi AppTec, Sequoia Capital China, Connecticut Innovations Simcha Therapeutics $25M New Haven, CT-based developer of drugs to modulate cytokine pathways
Longitude Capital, Optum Ventures, Deerfield Management, Blue Venture Fund, Flare Capital, Town Hall Ventures Somatus $64M McLean, VA-based provider of kidney disease diagnostics
Fidelity, Westcap, Inovia Capital, Greenoaks, Spark Capital, Greylock, Valor Equity, Tao Capital, Atreides Capital, Lennar Sonder $170M hotel and short-term apartment rental platform
Guggenheim Partners, UC Investments, Elisabeth Murdoch, SC Holdings SpringHill $100M new media company co-founded by LeBron James and Maverick Carter
Recruit Strategic Partners, Flourish Ventures, Loeb Enterprises, Propel Venture Partners, CMFG Ventures Steady $15M Atlanta, GA-based startup that helps low- and mid-wage workers earn more money
Sapphire Ventures, GV, Ventures, Kleiner Perkins, DCM, Resolute Ventures UJet $55M San Francisco, CA-based provider of cloud customer support software

June 30th, 2020|Scherzer Deal Report|