While not the center of the nation's venture capital scene, the Minnesota tech ecosystem managed a handful of major fundings in 2019.
The most noteworthy is undoubtedly Bright Health. Just a few weeks before the end of the year, the insurance startup closed on $635 million – it's third record-breaking venture round three years running.
Unsurprisingly, med-tech and healthcare companies like Bright were responsible for the largest VC rounds of 2019. However, there were significant raises in other sectors. Total Expert closed on $52 million, which is one of the largest rounds for a Minnesota tech company in recent years.
Here are the 10 largest Minnesota tech and startup fundings of 2019, starting with the largest round:
Bright Health
Minneapolis insurance startup Bright Health announced in late December that it secured $635 million in an oversubscribed Series D funding round, bringing the company's total equity raised to more than $1 billion. With this raise, Bright beat its own record for the largest venture capital round in Minnesota history.
Nuvaira
Med-tech company Nuvaira raised $79 million in a round led by Silicon Valley firm U.S. Venture Partners in February. Nuvaira, formerly known as Holaira, develops technology to treat overactive nerves in the airways of people with lung diseases like COPD.
Puris Proteins
Puris Proteins, a Minnesota company that provides a key ingredient for Beyond Meat products, received a $75 million investment from agribusiness giant Cargill. Founded in 1985, Puris is the largest North American producer of pea protein. The company will use the funding from Cargill to more than double production at its 200,000-square-foot facility in Dawson.
Total Expert
In October, St. Louis Park-based fin-tech company Total Expert secured $52 million in Series C funding – one of the largest raises for a non-healthcare tech startup in recent years. Total Expert said in a statement that it will use the new capital to expand on its current team of 218 employees and will begin hiring additional data scientists, designers and industry experts, in addition to accelerating the development of its APIs, machine learning and AI capabilities.
Shiratronics
Local med-tech startup Shiratronics, a company working on neuromodulation therapies to treat migraine headaches, announced in October that it had raised a $33 million Series A round of funding.
75F
Burnsville-based smart-energy startup 75F closed on an $18 million round of venture capital that included investment from a group of high-profile tech CEOs and a billionaire-backed investment fund. 75F’s round of financing was co-led by Breakthrough Ventures and the Oil and Gas Climate Initiative. Breakthrough is a $1 billion fund created by Bill Gates in 2016 focused on backing companies creating technology that could potentially combat climate change.
StemoniX
StemoniX, a biotech startup using stem cells to create micro-organs for drug testing and development, raised $14.4 million in early 2019. At the time, StemoniX said that the new financing will allow it to expand commercial operations at its existing sites in Minnesota and California. The company also plans to use the funding to drive the development of new products and services using its stem cell technology.
MicroOptx
MicroOptx, a medical device company that won the Minnesota Cup’s grand prize in 2017, raised $13.8 million in a planned $16.8 million round. The round was co-led by Minneapolis-based First Light Asset Management and TC Healthcare Partners. Other investors included Carl Zeiss, a German manufacturer of optical systems, and a number of previous angel investors.
ClickSWITCH
Minneapolis fin-tech startup ClickSWITCH raised a $13 million round of funding in May to fuel growth. The Series B round was led by San Francisco-based Commerce Ventures and Point72 Ventures, which is headed by billionaire investor Steve Cohen. Founded in 2014, ClickSWITCH aims to make it easier for consumers to move bank accounts from one financial institution to another. The company sells its services to banks and credit unions, which in turn offer it to customers.
Monteris Medical
Monteris Medical, which makes laser technology that destroys tumors, secured $10.6 million from a group of nine investors, according to the Biz Journal. Monteris' main buusiness is its NeuroBlate system, which physicians use to target brain tumors. Approved by the FDA in 2013, the procedure involves using imaging technology to precisely guide a probe into a patient's brain.
