This is our roundup of Chicago tech and startup companies that received venture capital investments during the last month. If we missed one, let us know at info@chicagoinno.com.
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Chicago tech and startup companies raised at least $225 million in venture capital during the month of September, according to data compiled by Chicago Inno.
September's fundings were led by Greenlight Planet, which raised $90 million, and ShipBob, which raised $68 million.
Local VC activity in September was up compared to August, when Chicago startups raised just $154 million. Tech funding has fluctuated over the summer as the industry continues to be affected by the Covid-19 pandemic.
And August’s fundings were slow compared to July and June, when Chicago startups raised $330 million and $200 million, respectively.
Below are eight Chicago tech and startup companies that raised money in September.
Greenlight Planet: The startup, which makes Sun King solar-powered, pay-as-you-go electricity kits, raised $90 million in debt and equity funding from investors such as CDC Group, FMO and Norfund. ResponsAbility, SIMA Funds, Symbiotics, Global Partnerships and ARCH Emerging Markets Partners’ Africa Renewable Power Fund also participated. Of the $90 million, $69 million has been dispersed to the company, said Patrick Walsh, Greenlight’s co-founder and CEO. The remaining $21 million will be given to Greenlight as it delivers more solar systems. Since its founding in 2007, Greenlight has raised about $160 million, Walsh said. In 2015, the company raised $10 million.
NextCapital: Chicago tech company NextCapital raised another $30 million for its financial advice platform that aims to help people with retirement. The Series D round was led by FP Credit, the credit investment arm of Francisco Partners. Other backers include Oak HC/FT and IA Capital Group. NextCapital, which raised a $30 million Series C in 2018, has now raised $85 million to date. Founded in 1996, NextCapital's platform allows financial firms to provide individualized advice to their customers on things like their 401(k), IRA and taxable brokerage accounts.
PhotoniCare: The Champaign startup making ear imaging technology raised $5.2 million in a Series A round led by i2E Management Company Inc., with co-investment from OSF Ventures, Sony Innovation Fund and Dreampact Ventures. In addition to the funding, PhotoniCare also received a $2.1 million Phase II Small Business Innovation Research grant from the National Institutes of Health. The new financing brings PhotoniCare’s total funding to more than $12 million, according to Crunchbase.
ShipBob: E-commerce logistics and shipping company ShipBob raised $68 million in a Series D round of funding. The Chicago company said the latest round of funding was led by SoftBank Vision Fund 2, with participation from previous investors, including Menlo Ventures, Bain Capital Ventures, Hyde Park Venture Partners, Hyde Park Angels and Y Combinator. ShipBob said it will use the new funds "to bring world-class fulfillment to more customers, fuel growth, expand its software platform and scale its global fulfillment network."
ShoppingGives: The tech company raised a $5.5 million seed round led by San Francisco VC firm Caffeinated Capital. Other backers include Tuesday Capital, SciFi VC, Background Capital, Red Dog Capital, 20VC, Global Founders Capital, Big Future Fund, Rogue Capital, Night Capital, Manresa Ventures, and Sugar Capital. Launched in 2018, ShoppingGives has created a simple way for online shoppers to donate to nonprofits when they purchase items from their favorite retailers.
UPshow: Interactive digital signage company UPshow closed on a $14 million financing round. The 5-year-old Chicago company said the Series A funding round was led by 4490 Ventures, with participation from Jump Capital, TDF Ventures and the Signature Venture Banking Group. UPshow said it will use the funds "for continued product development and servicing of top brick-and-mortar brands throughout the United States and beyond." UPshow said it "has signed multiple seven-figure deals this year with leading household brands that collectively have tens of thousands of locations." UPshow allows bar, restaurant and gym owners to show branded content on their TV screens to engage customers.
WatchTower Technologies: The Chicago startup raised $8 million in equity funding, according to an SEC filing. The startup operates a digital RFP platform for the employee benefits industry.
Zero Hash: Zero Hash, formerly known as Seed CX, raised $5 million in a Series C round. The funding round was led by tastytrade, a Chicago-based holding company that owns major broker brands, including tastyworks, Dough and The Small Exchange. Existing investors Bain Capital TradeStation, CMT Digital and Monday Capital also participated.
