Atlanta startups experienced a multi-week low of venture capital raised over a seven-day period, according to Atlanta Inno reporting and fillings with the U.S. Securities and Exchange Commission.
Between Jan. 6 and Jan. 13., local companies raised at least $19.5 million. That figure pales in comparison to the weekly figures of $192 million, $80.9 million, $77 million and $55 million that the city’s ecosystem has seen recently.
The dip comes as venture capital has shrunk in availability overall. In 2022, Georgia companies raised almost half the amount of venture capital they received the previous year, which was a record level for funding.
Investors have switched a focus on growth for profitability. That shift in market dynamics has led to a series of layoffs from tech companies across the U.S. in the past half-year in order to cut costs. PitchBook predicts that 2023 will also be a year when venture capital will slow, although seed-stage companies may show some resiliency.
Here are the venture deals you might've missed this week:
- Food-as-medicine company ModifyHealth raised its largest funding round to date as it plans a nationwide expansion with $10 million in a Series B funding round. The raise was led by healthcare-focused equity firm RC Capital with existing investor Nashville Capital Network participating. The latest announcement brings the company’s total funding to at least $14 million. It provides meal delivery, digital health support and dietician support for patients that suffer from conditions such as type 2 diabetes. It is led by CEO G.B. Pratt.
- Rimidi Inc., a company that provides software to clinicians to monitor their patients’ health, raised $5 million two months after raising $375,000 in debt financing, according to an SEC filing. One investor participated in the round. In 2021, the company started working with Emory Healthcare to provide neurological conditions and orthopedic surgery patients with apps that monitor their treatment progress. It was selected as an Atlanta Inno Fire Award winner in 2020. The company has been led by founder and CEO Lucienne Ide since September 2011, according to LinkedIn. It has raised at least $14 million to date, according to past SEC filings.
- Wattch Inc., a monitoring platform for solar energy and storage, raised $3.5 million, according to an SEC filing. Nine investors participated in the round. Based on SEC filings, this is the first capital raise for the company. The company is led by CEO Robert Nussey.
- Aetos Imaging Inc., a 3D scanning startup, raised $1.1 million, according to an SEC filing. Two investors participated. The company creates 3D models that capture mechanical or facility management components of a building or space. It is mainly focused on distributing training content for an organization. The company is led by co-founder and CEO Charlie Cichetti, who also owns SIG, GBES and Blue Ocean Sustainability, according to the company website. The latest raise brings the company’s total funding to at least $1.7 million, according to previous SEC filings.
