Austin Weekly Deal Highlights - Sept. 19, 2021
Since email marketing company Mailchimp sold this week for $12B, I wonder what this newsletter email “company” is worth… Come on yall, this is quality stuff, I have 13k+ hyper regional subscribers, above average open rates, recurring revenue, … I’ll humbly start the bidding at 0.1% of Mailchimp’s sale price ;). I’ll throw in a year of writing intro’s, or transfer all creative liberties, whichever is worth more to ya.
So enough of that, what is happening in Texas?? In a a classic David and Goliath story, we now see the manifestation of what it means disrupt the incumbent, where a ground-breaking company reaches distribution faster than a market leader can innovate. We have Katy-based Igloo, founded in 1947, and dominating the ice chest market for decades but slow to innovate, selling this week for $677M after a tumultuous few years. On the other hand, we have home grown, Austin-based Yeti, founded 60 years later, eclipsing a $100 share price this quarter, and reaching a monumental $8.75B market cap. The two own comparable share of the camping cooler market (~20%), but it’s clear who investors are more bullish on.
Thank you to this week’s sponsor, S3 Ventures!
Acquisitions & IPOs: What to Expect & How to Prepare — Join us for this webinar on October 5 to learn from Bryan Hill, current CFO of Alkami and former CFO of Real Page, who has executed 40+ acquisitions and two IPOs, including Alkami this past April. Alice Takhtajan from J.P. Morgan will review the latest capital markets data, and S3 Ventures’ Brian Smith, who has taken companies public as both a Founder/CEO and a VC, will host the discussion. Register now
Austin Financing Activity
Self Financial, a platform that helps consumers establish and build credit history, raised a $50M Series E. Altos Ventures led, and was joined by insiders Meritech Capital and Conductive Ventures. The company has more than doubled its number of employees in the past year from 80 to 200.
Colossal, a genetics startup focused on bringing back the extinct woolly mammoth, raised a $15M seed round. Billionaire Thomas Tull, best known for founding a film production company that backed the “Batman” movies and “Inception,” and venture capital firms Breyer Capital and Draper Associates are among the backers.
Austin M&A Activity
WIN-911, is a leading industrial monitoring, alerting and notification software, announced the completion of the majority recapitalizationby The CapStreet Group, in partnership with the majority owner, Robert Brooker, shareholders and management.
Other Texas Deal Activity
Dometic (Swiss: DOM), agreed to buy Igloo, a Katy, Texas-based cooler maker, for $677M. Sellers include ACON Investments, Hauser PrivateEquity and JZ Capital Partners.
DiCentral, a Houston-based global B2B and API solutions provide, was acquired by TrueCommerce, a Pittsburgh, PA-based global cloud provider of supply chain and trading partner connectivity, integration, and omnichannel solutions. Terms were not disclosed.
Billy Duffy joined Austin, Texas-based PE firm Acacia Partnersas a principal. He previously was with KPMG Corporate Finance.
Tritium Partners, a private equity fund specializing in buyouts of growth companies in the lower middle market, filed to raise their third fund with a target of $650M. Previous funds totaled $465M and $309M in 2019 and 2015, respectively.
Applications for Techstars Austin close in less than a month on October 6th!
Travis County will inject $110M into Austin's homelessness, affordable housing crises
UT Austin ranks among top universities in the country — here's what talents shine bright
Moveworks, an AI platform company meant for employee support, has officially relocated to Austin and plans to increase hiring around the area. The company has recently raised a $200M Series C round at a $2.1B valuation, per Crunchbase.
PeopleFund, a small business loan provider, has launched an accelerator focused on BIPOC-owned businesses that have a minimum of six months of operating revenue.
Additional research and newsletter support provided by Nirjhar Mundkur