Kirk Falconer
Owl.co has raised $2.6 million in a seed-stage financing, the Vancouver-based financial technology provider told PE Hub Canada. The deal was led by Impression Ventures and Luge Capital, both Canadian fintech venture capital firms. They were joined by existing backers Sway Ventures, Inovia Capital, Plug and Play, Builders VC and Holt. Owl.co was launched in 2018 by CEO Sean Merat and CPO Sohrab Merat, both serial founders, as well as COO Vahid Mirjalili. Its solutions help banks and insurers manage critical processes around customer data collection. Owl.co's technology supports customer on-boarding, know-your-customer and anti-money-laundering due diligence, and fraud detection.
Absorb Software has acquired eLogic Learning, a Tampa, Florida-based learning management system (LMS) provider, for an undisclosed amount. The deal follows Absorb's acquisition in May of Lehi, Utah-based LMS provider Torch LMS. Absorb, a Calgary-based learning technology business, said the deal increases its global customers to more than 1,000 and its offices to eight. It expects to make more acquisitions in the coming quarters as it expands beyond organic growth. Absorb is backed by U.S. growth equity firm Silversmith Capital Partners. Two years ago, Silversmith led the company's $59 million financing.
Toronto-based accounting software provider FreshBooks has raised an undisclosed strategic investment from JPMorgan Chase & Co (NYSE: JPM), a U.S. financial services firm. Led by CEO Mike McDerment, Freshbooks provides invoicing, time-tracking, expense management, online payments and other tools to small businesses and self-employed professionals. It currently has customers in 160 countries. Bill Clerico, CEO of WePay, a JPMorgan Chase payments affiliate, said the deal will support FreshBooks' growth while also serving his company's small business clientele. FreshBooks previously secured nearly $100 million in a 2017 Series B financing led by Georgian Partners and a 2014 Series A led by Oak Investment Partners.
RHI Group, a Toronto-based investment company focused on retail marketing solutions, has secured an undisclosed investment from M33 Growth, a U.S. venture capital and growth equity firm. Founded this year by Executive Directors Alex Moorhead and Brian Sinclair, RHI Group invests in software and digital marketing companies that leverage consumer data to help retailers make more informed decisions and market more effectively. Moorehead and Sinclair are both former retail marketing executives. Moorehead was also previously a managing director at Tandem Expansion Fund. M33 Growth Managing Director Gabe Ling said his firm will partner with RHI Group on investments.
Genting Hong Kong Ltd (GHK) has agreed to sell a 35 percent interest in Dream Cruises, an Asian luxury cruise line, to TPG Capital Asia, TPG Growth and Ontario Teachers’ Pension Plan (OTPP). The deal has a total consideration of US$489 million. It values Dream Cruises at about US$1.4 billion, not including debt. The purchase will be made in two tranches, the first of an at least 24.5 percent stake expected in September and the second expected in December. GHK, a Hong Kong-based leisure, entertainment and hospitality business, said the transaction's proceeds will support the completion of two Dream Cruises ships.
SNC-Lavalin Group Inc (TSX: SNC) said it will proceed with the sale of a 10.01 percent stake in 407 International Inc, a Woodbridge, Ontario-based holder of a concession over 407 Express Toll Route (407 ETR), to Canada Pension Plan Investment Board (CPPIB). The deal, valued at $3.25 billion, is expected to close this month. It follows the dismissal by an Ontario court of an application by Ferrovial SA concerning its right of first refusal with respect to SNC-Lavalin's original sales agreement with OMERS Infrastructure. The agreement was cancelled in May. If the court decision is reversed, CPPIB, which holds 40 percent of 407 ETR, and Ferrovial, which holds 43.23 percent, agreed the sale to CPPIB will stand and that ownership stakes will be adjusted.
Toronto-based digital health company BlueDot has secured about $9.2 million (US$7 million) in a Series A financing, bringing total funding to about $12.6 million (US$9.5 million). The round was led by The Co-operators, a Canadian insurance and financial services co-operative, and BDC Capital’s Women in Technology Venture Fund. They were joined by existing investor Horizon Ventures. Founded in 2013 by CEO Kamran Khan, BlueDot applies human- and artificial intelligence-enabled analytics to big data to track, contextualize and anticipate infectious diseases worldwide. The company will use the funds raised to develop its product suite, grow sales and commercialization efforts, and expand into new markets.
Uplight has acquired Ecotagious, a Vancouver-based energy analytics and home energy management technology company. No financial terms were disclosed. Founded in 2010, Ecotagious uses smart metre disaggregation, machine learning and behavioural science to help utilities give personalized, appliance-level insights to their residential customers. Boulder, Colorado-based Uplight provides customer experience and engagement solutions to the utility industry. It was formed earlier in 2019 with the merger of Simple Energy and Tendril, a portfolio company of Rubicon Technology Partners. Following the merger, Rubicon, a U.S. enterprise software private equity firm, remained Uplight's majority investor.
Telecon has acquired TRJ Telecom, an Anjou, Québec-based provider of turnkey solutions and services for the design, deployment, modernization and maintenance of fibre-optic and coaxial networks in Québec and Ontario. Terms weren't released for the acquisition, which includes TRJ Telecom affiliate Telefil. Equity financing was provided by a group of investors that included Clearspring Capital Partners, Caisse de dépôt et placement du Québec and Desjardins Capital. Telecon, a Montréal-based provider of telecommunications network infrastructure services, said the deal strengthens its position in the Canadian market. Two years ago, Clearspring, a Canadian mid-market private equity firm, led a $70 million financing of Telecon.
CIBC Innovation Banking has provided US$10 million of debt financing to Stratifyd, a Charlotte, North Carolina-based end-to-end customer analytics platform. The funds raised will be used to support the company's growth. Founded in 2015, Stratifyd provides artificial intelligence-enabled technology to help enterprises generate insights that lead to customer retention, improved products and services, and greater revenue. Last year, Stratifyd secured US$25 million in a Series B financing led by Canadian growth equity firm Georgian Partners. CIBC Innovation Banking is the technology lending arm of Canadian bank CIBC.