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| Here's a look at today's Startups briefing. - 🔐 1Password acquired Kolide to expand endpoint device security
- 📈 Median valuations for pre-seed, early-stage European startups increased slightly in 2023
- 🇯🇵 Teamshares expanded its employee ownership model to Japan
Thank you. Karan
p/karan-chafekar | |
| 1 | | Password management startup 1Password acquired contextual access management firm Kolide. Financial details of the transaction were not disclosed. The acquisition will expand 1Password's endpoint device security capabilities. More: - The acquisition is part of 1Password's broader strategy of moving away from password management into new verticals.
- This is 1Password's third acquisition to date after it bought cybersecurity company SecretHub and passkey device maker Passage.
- All 30 of Kolide's employees are joining 1Password, with founder and CEO Jason Meller taking up the role of vice president of product.
- Kolide had raised $27M in total funding to date, the last of which came in through a $17M Series B round led by OpenView Partners in 2021.
- 1Password touched $250M in annual recurring revenue after witnessing a 50% YoY growth in B2B sales in 2023.
- The company plans to hire 250 more employees in 2024.
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| 2 | | Pre-seed and early-stage European startups defied the fundraising slump in 2023, with pre-money valuations surging 4% and 2.5%, respectively, per a Pitchbook report seen by TechEU. 
What the numbers say: The median deal value of pre-seed, seed, early-stage, and late-stage startups increased by 8.4%, 5.3%, 2.8%, and 11.7%, respectively. While valuations of pre-seed and early-stage startups increased, valuations of seed-stage startups declined by 9.2% YoY. Only startups in the venture growth stages faced a decline in both deal value and valuations, dropping by 4.7% and 26.6%, respectively. What happened: Due to a lack of exit opportunities, the median exit valuation dropped by 28.7% YoY in 2023, reaching a value of €23M ($24.9M). Median valuations of IPO debutants dropped sharply by 60.3%, compared to the 25.2% decline for acquisitions. Where to see the impact: After a difficult fundraising environment in 2022 and 2023, Pitchbook believes 2024 will be a year of rates, recovery, and rationalization. The report predicts that several startups in fragmented sectors might merge, which could lead to a rationalization of valuations. | | | |
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| 3 | | Plant-based meat startup Meati Foods promoted CFO Phil Graves to the CEO role, taking over the role from co-founder Tyler Huggins, who is transitioning into the position of chief innovation officer. Meati also laid off 13% of its workforce, its second round of layoffs in the past five months. More: - The layoffs are aimed at making the company financially sustainable as it charts a path toward profitability.
- Meati Foods scaled production at its 100,000-square-foot Mega Ranch facility and increased its presence to 3,600 retail locations nationwide in 2023.
- It plans to increase the number to 10,000 by the end of this year.
- The Mega Ranch facility will have a peak production output of 45 million pounds of product once the facility is fully ramped up.
- It raised $150M through an initial Series C round in July 2022 and added another $22M to the round in January 2023.
- It ultimately closed the round at $200M later in 2023.
- Huggins will lead the development of new alternative protein cutlets and steaks made from mushroom root called MushroomRoot Chef Cut.
- Six weeks ago, Scott Tassani stepped down from the president role.
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| 4 | | Brooklyn, New York-based employee ownership platform Teamshares Inc. is expanding its services to Japan. The startup acquires businesses without succession plans, restructures the management, and empowers employees by giving them 80% ownership of the company over the span of 20 years. More: - Having acquired approximately 90 companies across 31 states and 42 industries in the U.S., Teamshares is confident in replicating its success abroad.
- The company decided to enter Japan considering its 2.45 million small businesses run by owners who will reach 70 years of age by 2025, half of which lack a succession plan.
- Teamshares' co-founder, Kevin Rikio Shiiba, will lead the Japanese division.
- Since its founding, the startup has raised about $245M in total funding from investors and plans to raise at least $100M through a Series E funding round this year.
- Notable backers of the firm include Khosla Ventures, USV, and QED Investors.
- Teamshares primarily targets companies with revenue ranging from $2M to $10M.
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| 5 | | Oula, a maternity clinic startup that combines obstetrics with midwifery, raised $28M in Series B funding co-led by Revolution Ventures and Maverick Ventures. The firm plans to use the proceeds to expand its maternity clinics beyond New York City and launch new services. More: - Other participants in the funding round include GV, Female Founders Fund, 8VC, Alumni Ventures, and Great Oaks.
- Since its founding in 2019, the startup has secured $50M from investors, including a $19M Series A round in January 2023.
- The firm already has two offices in Brooklyn and Manhattan, with plans in place to open the third one in Morningside Heights in partnership with Mount Sinai West.
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| 6 | | LiDAR-based space mapping platform Nuview acquired analytics platform Astraea for an undisclosed sum. The acquisition will accelerate Nuview's plans to provide intelligence on satellite, aerial, and drone data. Nuview plans to launch 20 commercial LiDAR-equipped satellites to map the entire surface of the Earth. More: - The startup will first launch its proof of concept satellite dubbed Mr. Spoc to validate the technology.
- After the initial launch, it plans to deploy an additional constellation of satellites every 12 to 18 months.
- Nuview has raised just $15M to date from investors since its founding in January 2022.
- Nuview's CEO, Clint Graumann, said the acquisition would help the firm realize its vision of putting "analytics-ready data directly in the hands of the user," helping them solve key global challenges, including climate change and disaster mitigation.
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 | Analyst | | Karan Chafekar is a Management Consultant, Business enthusiast, and Licensed Pilot. | | This newsletter was edited by Aaron Crutchfield | |
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