Get details below on recent funding deals: In the past week-plus, five Austin-area companies reported a combined $136 million in funding deals.
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Infinitum Electric Inc., an air-core motor company founded in 2016, said May 17 it raised $80 million in series D funding to expand production of its cornerstone motor, as well as development of new ones for electric vehicles. That brings its total funding to $135 million. The new round was led by Riverstone Holdings LLC, a growth equity firm based in New York. Other backers included Alliance Resource Partners, Applied Ventures and the company's early investors: Cottonwood Technology Fund, Chevron Technology Ventures, Aventurine Partners, Energy Innovation Capital and Ajax Strategies. Rockwell Automation and Caterpillar Venture Capital also have stakes in the company.
Aside from R&D, the new money will help the company hire about 50 employees at its headquarters in Round Rock at 700 Jeffrey Way, as well as its Spokane offices. The company also plans to expand its production facility in Tijuana.
Austin financial-technology FirstClose Inc. said May 17 it closed a $35 million funding round led by growth equity firm Lateral Investment Management. The startup, led by co-founder and CEO Tedd Smith, provides underwriting automation for the home equity and mortgage markets. The company, headquartered at 10800 Pecan Park Blvd. in Northwest Austin, had been self-funded since its founding in 2000.
Austin-based KLOwen Braces Inc. said May 20 it raised a $10.5 million series A funding round for its one-size-fits-all braces. Investors included Columbia Pacific Advisors, Jazz Venture Partners, SpringRock Ventures, Ensemble Innovation Ventures and the American Association of Orthodontists. The company, founded by Brandon Owen in 2019, said it plans to premier a new 3D-printed bracket solution later this month.
Austin-based FloorFound Inc. said May 19 it raised $10.5 million as it tries to simplify the return process for items ordered online. Led by e-commerce veteran Chris Richter, the startup's software platform manages the return and resale process end to end, making it easier for online retailers to recoup some of their costs when a product gets sent back by selling it on their own branded marketplace, as well as FloorFlound's store.
The company launched at the outset of the pandemic in April 2020. The series A round was led by Austin investment firms Next Coast Ventures and LiveOak Venture Partners.
Austin-based Justice Solutions Group, an investigations and intelligence firm, said it raised a "major" funding round, although it didn't disclose the amount. The funding was led by Los Angeles-based Leonid Capital Management. As part of the deal, Leonid's Chris Lay will join JSG's board. JSG, founded in 2015, is led by former law enforcement and military officers. It investigates fraud, embezzlement and retail crimes, as well as counter corporate espionage.
"As we continue to expand our presence throughout the United States, we know we need partners who can help us scale on a national level and continue to win market share," stated Josh Chandler, JSG's founder and CEO.
As many of you are probably aware, Austin resident and actor Matthew McConaughey is an active investor, most notably in Austin FC and the newly built Moody Center. In a Fast Company interview, he dives into his views on investing in startups and technology. He also revealed some of his lesser known investments, which include Austin-based oil and gas labor platform Workrise, which has been one of the city's fastest growing startups, although it recently laid off a significant number of employees. McConaughey is also invested in Salesforce, Unite Us, MoonPay, Homebase and 1password.
