Week in deals, April 28, 2008


ArGentis Pharmaceuticals

Memphis, Tenn.


Amount/Round: NA/NA

Investors: Innova Memphis Inc.

Details: Startup seeks to in-license therapies for chronic diseases.

BrainCells Inc.

San Diego


Amount/Round: $20M/B

Investors: New Enterprise Associates (led), Alexandria Real Estate Equities, MedImmune Ventures, Bay City Capital, Oxford Bioscience Partners, Technology Partners, Pappas Ventures, NeuroVentures.

Details: Develops drugs targeting mood and anxiety disorders. The funding brings the Series B round to $50M. Chuck Newhall, general partner and co-founder of NEA, has joined the board.

Cambria Pharmaceuticals Inc.

Woburn, Mass.


Amount/Round: $5.4M/A

Investors: Idec New Ventures, CommonAngels and individual investors.

Details: Develops treatments for neurological disorders, such as Parkinson’s disease and epilepsy.

Resolvyx Pharmaceuticals Inc.

Bedford, Mass.


Amount/Round: $25M/B

Investors: QVT Financial (led), Radius Ventures, Biogen Idec New Ventures, Atlas Venture, CHL Medical Partners, Flagship Ventures.

Details: Develops resolvin therapeutics to treat inflammatory diseases. The company has now raised about $40M since 2005. Keith Manchester, portfolio manager at QVT Financial, has joined the board.

Stromedix Inc.

Cambridge, Mass.


Amount/Round: $25M/B

Investors: New Leaf Venture Partners (led), Bessemer Venture Partners, Red Abbey Venture Partners, Atlas Venture, Frazier Healthcare Ventures.

Details: Develops drugs to treat fibrotic organ failure. The company has now raised more than $30M since March 2007. Ron Hunt, managing director of New Leaf Venture Partners, and Chris Gabrieli, partner of Bessemer Venture Partners, have joined the board.


Audience Inc.

Mountain View, Calif.


Amount/Round: $15M/C

Investors: New Enterprise Associates, Tallwood Venture Capital, Vulcan Capital, VentureTech Alliance.

Details: Develops sound processing semiconductor chips.


Enerpulse Inc.



Amount/Round: $5M/B

Investors: Robeco (a unit of Rabobank Group).

Details: Develops environment friendly automobile spark plugs. The funding brings the total round to $10.5M following a $5.5M first close last year from Sail Venture Partners and Altira Group.


Pasadena, Calif.


Amount/Round: $130M/NA

Investors: Idealab, Oak Investment Partners, Google.org.

Details: Develops solar thermal power plants.

Infinia Corp.

Kennewick, Wash.


Amount/Round: $7M/B

Investors: Foxconn Technology Group.

Details: Develops solar power generation product that converts concentrated solar energy into electricity. The funding brings the Series B total to $57M. Earlier round participants included GLG Partners, Wexford Capital, Vulcan Capital, Khosla Ventures, EQUUS Total Return Inc., Idealab and Power Play Energy LLC.


Vysr Inc.

Palo Alto, Calif.


Amount/Round: $2M/A

Investors: Sand Hill Group, VenturEast of India.

Details: Develops voice and text communication infrastructure.


GamerDNA Inc.

Cambridge, Mass.


Amount/Round: $3M/A

Investors: Flybridge Capital Partners.

Details: Operates a social networking site for online gamers. The company, f.k.a. GuildCafe, raised an undisclosed amount of seed funding from Flybridge last summer.

The Guild Inc.

Madison, Wis.


Amount/Round: $2.5M/C

Investors: Dolphin Equity Partners.

Details: Operates an online art retail site. The company has now raised more than $50M in funding since 1999 from Benchmark Capital, Technology Crossover Ventures and San Francisco Equity Partners, among others.

Health Plan One

Shelton, Conn.


Amount/Round: $6.5M/A

Investors: Pequot Ventures (led), Greycroft Partners and individual investors Kevin Hill (former CEO for United Healthcare Northeast); Chan Wheeler (former CEO of Uniprise); and Bill Sullivan (former president of Oxford Health Plans).

Details: Operates an online marketplace for health insurance services. Larry Lenihan, co-head of Pequot Ventures, will join Chan Wheeler and Kevin Hill on the board.




Amount/Round: $3.2M/NA

Investors: NA

Details: Operates an online video news aggregator. The company says it previously raised $1M from an undisclosed investor.

Play Hard Sports Inc.

Foxboro, Mass.


Amount/Round: $5M/A

Investors: New Enterprise Associates.

Details: Operates a casual sports gaming network. The company is run by Jeffrey Anderson, who stepped down as CEO of gaming company Turbine Inc. last October. Harry Weller, a partner with NEA, has joined the company board.


Sarasota, Fla.


Amount/Round: NA/NA

Investors: Merrick Capital.

Details: Provides a real estate search engine.

Tiny Prints Inc.

Mountain View, Calif.


Amount/Round: NA/NA

Investors: Summit Partners, Technology Crossover Ventures.

Details: Operates an online retail site for stationery. The company, founded in 2004, said Summit Partners and TCV will receive board seats from their minority investments, but the partners were not named.

Travel Ad Network

New York


Amount/Round: $15M/A

Investors: Rho Ventures, Village Ventures and individual investors.

Details: Operates an online ad network for the travel industry.


San Francisco


Amount/Round: $5.1M/B

Investors: Sabre Holdings, O’Reilly AlphaTech Ventures, European Founders Fund.

Details: Provides an online travel organizer and social network. The company raised $1M in seed funding from O’Reilly AlphaTech Ventures last year.



Redwood City, Calif.


Amount/Round: $20M/D

Investors: NA

Details: Provides mobile payment services in the United States. GigaOm first reported the news last week, including an item about how the company’s founders made their contributions via the Obopay platform. The company had previously raised about $44M from Richmond Management, Qualcomm, Redpoint Ventures, AllianceBernstein, Citi and Societe Generale.





Amount/Round: $2.25M/A

Investors: Madrona Venture Group (led), Bezos Expeditions and individual investors, including current and former Amazon.com executives Jeff Blackburn, Michael George, Jason Kilar (currently CEO at Hulu.com), Kim Rachmeler and Joel Spiegel; Erik Blachford, former CEO of Expedia; John Musser, founder of ProgrammableWeb; and Dave Richards, former RealNetworks’ executive and co-founder of Athena IQ.

Details: Operates as an online marketplace for teaching and coaching services. The company was founded by Dave Schappell, a former director of product development at Amazon.


Business Financial Services Inc.

Raleigh, N.C.


Amount/Round: $9M/NA

Investors: Edison Venture Fund.

Details: Provides cash advances to U.S. merchants.



Burlington, Mass.


Amount/Round: $13M/NA

Investors: Psilos Group.

Details: Develops and markets software for the health care industry. The company has now raised more than $26M in funding from Psilos Group since 2006.


Buddy Media Inc.

New York


Amount/Round: $6.5M/B

Investors: Softbank Capital Partners (led), European Founders Fund, GreyCroft Partners and individual investor Ron Conway.

Details: Develops Facebook applications. The company also announced the launch of a social advertising network.


Channel M

Los Angeles


Amount/Round: NA/C

Investors: Intel Capital.

Details: Provides marketing and media services. The company previously raised $11M from Intel Capital, Ascend Venture Group and Vintage Capital Partners.

OnRequest Images



Amount/Round: $8M/C

Investors: European Founders Fund, Maveron, Frazier Technology Ventures.

Details: Provides custom photography and imagery services for corporations to build brands. The company had previously raised a $9M Series C round led by Menlo Ventures, Maveron and Frazier Technology Ventures. The company has now raised $30M in funding since 2004.


VisEn Medical Inc.

Woburn, Mass.


Amount/Round: $5M/B

Investors: Merck Capital Ventures, Flagship Ventures

Details: Develops molecular imaging technology. The funding brings the Series B round to $12.5M. Earlier backers from the Series B round include Siemens AG Medical Solutions and Spinnaker Capital.


VFM Interactive Inc.

Toronto, Ontario


Amount/Round: $13.5M/NA

Investors: Lake Capital (led), JLA Ventures, Centiva Capital.

Details: Provides rich media content solutions, such as streaming videos and virtual tours, to the lodging and travel industry. The company had raised more than $2M from JLA Ventures in 2004.


Altor Networks

Redwood City, Calif.


Amount/Round: $6M/B

Investors: Accel Partners, Foundation Capital.

Details: Provides virtual network security solutions.


Collective Intellect

Boulder, Colo.


Amount/Round: $6.6M/B

Investors: Grotech Capital Group (led), Crawley Hatfield Capital, Appian Ventures, Croghan Investments.

Details: Develops software that ranks media content for enterprises. The company has now raised more than $11M in funding since 2006.




Amount/Round: $30M/B

Investors: New Enterprise Associates.

Details: Provides integrated procurement and analytics software. The company had raised $10.5M from NEA last year.

Red Bend Software Inc.

Waltham, Mass.


Amount/Round: $10M/E

Investors: Coral Capital Management, Carmel Ventures, Greylock Partners, Infinity Venture Capital, Pitango Venture Capital, Poalim Ventures.

Details: Develops software for remotely updating mobile phone applications. The company has now raised $32.5M in total venture capital since early 2001.

VirtualLogix Inc.

Sunnyvale, Calif.


Amount/Round: NA/NA

Investors: Motorola Ventures.

Details: Develops real-time virtualization software. The company recently closed a similar deal with Texas Instruments and, before that, raised a $16M Series B round from Esprit Capital Partners, Intel Capital, Atlas Venture and Index Ventures in 2007.


MobiTV Inc.

Emeryville, Calif.


Amount/Round: $5M/NA

Investors: Leader Ventures.

Details: Provides mobile and broadband television and music services. The company had previously raised about $118M in total VC funding since 2001, including a $100M Series C round in 2006 at a PMV in excess of $400M. Investors include Oak Investment Partners, Menlo Ventures, Redpoint Ventures, Gefinor Ventures, Adobe Systems and Hearst Corp.