Week Ending 05.12.19
SALESFORCE ACQUIRES BONOBO & DDN ACQUIRES NEXENTA
UBER & AXCELLA PLUNGE WHILE JIAYIN & PARSONS SOAR ON FIRST TRADING DAY
RADICAL VENTURES LAUNCHES USD 350M AI FUND
ROBOT ARMS RACE BREWING
INCEDO HIRES CTO & FOGPHARMA HIRES CHIEF SCIENTIFIC OFFICER
AND MORE ↓
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MERGERS AND ACQUISITIONS
Salesforce, the San Francisco, California-based software as services firm, said it is acquiring Israeli AI company Bonobo. Salesforce is paying between USD 40m - USD 50m, according to a Times of Israel report.
DataDirect Networks, the Chatsworth, California-based data storage company using AI, said it is acquiring software developer Nexenta.
Medallia, the San Francisco, California-based marketing company using AI, said it is acquiring Strikedeck, a marketing firm also using AI and machine learning.
MINDBODY, the San Luis Obispo, California-based payments and services platform for gyms and spas, said it acquired Bowtie.ai, a virtual receptionist services firm.
NexTech AR Solutions, the Toronto, Canada-based AR company focused on marketing, said it is acquiring an unspecified ecommerce company for USD 2m in cash and stock. In March the company said it was acquiring two unspecified ecommerce companies. It recently appointed Ori Inbar to its advisory board.
FILINGS
GigCapital2, the Palo Alto, California-based company planning to acquire AI and other technology companies, said it is raising USD 130m from the sale of 13m units at USD 10 each. The company is a special purpose acquisition company, or a company with no assets raising funds to make acquisitions based on the strength of its management.
Mohawk, the New York City-based consumer goods company using AI, said it is raising a placeholder USD 57.5m on the Nasdaq.
Headhunter, the Nicosia, Cyprus-based recruitment company using AI, saw its shares rise 16.3% on its first day of Nasdaq trading. The company and shareholders, including a unit of Goldman Sachs, raised USD 220m from the sale of 16.3m American depositary shares at USD 13.50 each, the highest end of the marketed range. The company’s main area of business is in Russia.
Parsons, the Centreville, Virginia-based defense industry engineering and services firm using AI, saw its shares close up 14.8% at the end of the week. The company said it raised USD 500m in an initial public offering of 18.5m shares at USD 27 each, the midpoint of the marketed range.
Jiayin, the Shanghai, China-based online lender using AI and machine learning, jumped 54% in its first day of trading on the Nasdaq. The company raised USD 36.75m from an initial public offering of 3.5m American depositary shares at USD 10.50 each. It originally filed a USD 57.5m placeholder.
Axcella Health, the Cambridge, Massachusetts-based company developing machine learning capabilities in drug research, saw its shares plunge 30% after two days of trading. The company raised USD 72m in an initial pubic offering of 3.6m shares at USD 20 each, the lowest end of the marketed range. It filed a USD 86m placeholder.
GSX Techedu, the Beijing, China-based online tutoring company using AI, said it is raising a placeholder USD 220m in an initial public offering on the NYSE.
Uber Technologies, the San Francisco, California-based ride sharing company using AI, saw its shares drop 8% on their first day of NYSE trading. The company and shareholders, including venture capital firm Benchmark, raised USD 8.1bn after pricing 180m shares at USD 45 each, towards the lowest end of the marketed range.
Other deals include Ideanomics and China Index
FUNDING
Radical Ventures, the Toronto, Canada-based early stage investment firm, said it launched a new USD 350m fund focused primarily on artificial intelligence. Investors include Canada Pension Plan Investment Board, the Public Sector Pension Investment Board, TD Bank and Wittington Investments.
Kickstart Ventures, the Manila, Philippines-based venture capital company owned by Globe Telecom, said it was chosen by Ayala to manage a new USD 150m venture capital fund targeting technology startups, including those focusing on machine learning and artificial intelligence.
Kalderos, the Chicago, Illinois-based healthcare technology firm using AI, said it raised USD 7m in a Series A from Mercato Partners.
Phyn, the Los Angeles, California-based home water conservation company using machine learning, said parent companies Belkin International and Uponorit invested an additional USD 12m.
Other deals include Face++
LEGAL & REGULATORY
San Francisco may ban facial recognition technology, Slate reports. The ban passed a committee vote of the Board of Supervisors on May 6. A full board vote is scheduled for May 14. Oakland is also considering a ban.
A potential robot arms race is brewing, according to a report from Pax, a Dutch anti-war NGO.
PEOPLE
Transplace, the Dallas, Texas-based transportation management and supply chain technology company using AI, said it hired Matthew Harding as senior vice president of data science.
MTX, the Albany, New York-based business services firm using AI, said it hired former Oracle executive Mike Baraiolo as senior vice president of sales.
FogPharma, the Boston, Massachusetts-based drug company using AI, said it hired Howard Stern as chief scientific officer and Peter Fekkes as vice president of discovery bioscience.
Incedo, the Santa Clara, California-based consultancy using AI, said it hired Shailaja Iyer as chief human resource officer and Roger Castillo as chief technology officer.