Form D Friday is an Atlanta Inno feature highlighting regulatory filings and tips about Atlanta companies raising capital. Form D reports are a type of U.S. Securities and Exchange Commission form used to file a notice of exempt offerings of securities. The SEC requires companies file the notice within 15 days after the first sale of securities in the offering. These forms don’t include a lot of details but can provide clues as to what investors and business owners are planning. If you have any tips or comments about new Atlanta fundraises, email Zach Armstrong at zarmstrong@bizjournals.com.
Between Oct. 7 and Oct. 14, Atlanta startups raised at least $47 million across five venture deals, according to reporting from Atlanta Inno and filings with the U.S. Securities and Exchange Commission.
The largest raise was a $40 million investment made by Birmingham-based investment management firm EBSCO Industries Inc. into solar energy company Cherry Street Energy LLC. Around a third of the investment will go toward research and development. The company will look to improve its battery management system, a solar panel’s ability to store electricity to then dispatch to batteries, and improve its panels’ ability to convert to electric vehicle chargers.
The raise comes as Georgia startups are seeing a decline in venture funding. PitchBook and National Venture Capital Association's latest report showed that local startups saw a 28% decrease of venture funding in the third quarter, prompting layoffs, cuts to product development and marketing.
Here are this week’s venture raises you might've missed:
- Cherry Street Energy, which sells power to the City of Atlanta and Emory University, is set to double its workforce and expand research and development following a $40 million investment. Total funding for the company is just over $100 million. Following the raise, it plans to move into an office five times bigger than its current size and double its employees.
- Insurance technology startup Mile Auto Inc. has raised $4 million, less than half the amount of its seed round in May 2021. The funds came from existing investors including Ulu Ventures, Emergent Ventures, Sure Ventures, and Thornton Capital. Following the raise, it plans to expand to more states, giving it access to around 70% of the U.S. vehicle market. The company uses computer vision and machine learning technology to provide insurance to low-mileage drivers.
- Contract automation startup Document Crunch has raised $2 million after securing business partnerships. The funding was led by Ironspring Ventures. It will be used to accelerate its growth following partnerships with AXA XL and construction research company ELECTRI International. Within the past two years, the company has raised $8 million, including a $4.6 million seed round led by Zacua Ventures with FifthWall, Argonautic Ventures and the GTM Fund participating. The company grew its staff in the past year from three to 23.
- Financial technology startup FilmHedge has raised $725,000 of a $5 million, according to an SEC filing. In March 2021, FilmHedge raised $2 million to triple its team and released its lending software for film production companies. The company provides fixed-interest loans up to $1 million and lines of credit up to $5 million to help finance movie and TV productions.
- Vine Vault LLC, a wine storage company, has raised $375,000, according to an SEC filing. The company has been led by CEO Elton Potts since 2015, according to his LinkedIn. The company offers services to people with wine collections, including storage, handling, signature lockers, inventory management, insurance, procurement and pickup/delivery services.
