Week in deals, March 16, 2009


Stemgent Inc.

Cambridge, Mass.


Amount/Round: $14M/A

Investors: HealthCare Ventures, Morgenthaler Ventures.

Details: Operates as a stem cell research and technology company. See story, page 1.


GridPoint Inc.

Arlington, Va.


Amount/Round: NA/NA

Investors: Craton Equity Partners.

Details: Provides energy management solutions. The company previously raised about $220M from Goldman Sachs, New Enterprise Associates, Susquehanna Private Equity, Perella Weinberg Partners and Robeco. Craton Equity is a new investor in the company.

SynapSense Corp.

Folsom, Calif.


Amount/Round: $7M/C

Investors: Robert Bosch Venture Capital, Emerald Technology Ventures, Sequoia Capital, American River Ventures, Nth Power, DFJ Frontier.

Details: Provides wireless instrumentation solutions that aim to reduce energy consumption. The company has now raised about $20M in funding since 2006.


Alphabeticall Inc.

New York


Amount/Round: $1M/A

Investors: Baseline Ventures and individual investor Roger McNamee, a managing director and co-founder of Elevation Partners.

Details: Provides online English dictionary services. The company was launched by Erin McKean, former chief consulting editor for American Dictionaries at Oxford University Press and former principal editor of The New Oxford American Dictionary.

Global Value Commerce

Raleigh, N.C.


Amount/Round: NA/NA

Investors: Southern Capitol Ventures.

Details: Operates as a company focused on the golf industry. The company operates such sites as GlobalGolf.com and GolfShoesOnly.com. Ben Brooks, founding partner of Southern Capitol Ventures, has joined the company’s board.


New York


Amount/Round: $5M/B

Investors: Bessemer Venture Partners (led), Baseline Ventures, Spark Capital.

Details: Operates a social gaming network. The company, a.k.a.Biosocia, raised $1.5M from Spark Capital and undisclosed investors in June 2008.


Pleasanton, Calif.


Amount/Round: $2M/A

Investors: Claremont Creek Ventures, Step5 Venture Partners, Northpoint Financial Group.

Details: Provides real estate related investment services online.

Sports Composite DE

Los Angeles


Amount/Round: $2M/NA

Investors: Mission Ventures, DFJ Dragon.

Details: Develops online fantasy sports games. The company, a.k.a. Rotohog, had previously raised more than $6M in funding.

SuperSecret Inc.

San Francisco


Amount/Round: $10M/A

Investors: Opus Capital.

Details: Develops online social games for tweens. Ken Elefant, general partner at Opus Capital, has joined the board. The company is led by Ted Barnett and Tony Espinoza, who previously founded and sold Internet calendaring service When.com to AOL.





Amount/Round: $7M/B

Investors: New World Ventures (led), Access Venture Partners, Education Sales Management, Alsop Louie Partners.

Details: Develops administrative software for higher education institutions. The company raised about $3.2M in first round funding last year from Alsop Louie and other investors.


Career Step

Springville, Utah


Amount/Round: $22M/NA

Investors: DW Healthcare Partners, BB&T Capital Partners.

Details: Provides online vocational training services for the health care industry.

Westport Linen Services

Baton Rouge, La.


Amount/Round: $6.7M/NA

Investors: Advantage Capital Partners (led), IberiaBank.

Details: Provides linen services to hospitals and health care centers in southern Louisiana and Mississippi.



San Carlos, Calif.


Amount/Round: $7M/B

Investors: Benchmark Capital, Sequoia Capital.

Details: Operates a content delivery network. The company raised an undisclosed amount of seed funding from Sequoia in early 2008.

Vidyo Inc.

Hackensack, N.J.


Amount/Round: $15M/C

Investors: Menlo Ventures (led), Rho Ventures, Star Ventures, Sevin Rosen Funds.

Details: Provides high-definition video conferencing technology over the Internet. The company previously raised $20.8M in funding.



Palo Alto, Calif.


Amount/Round: $10.5M/B

Investors: Redpoint Ventures (led), Greylock Partners.

Details: Operates online video management and advertising platform. The company previously raised $4.87M from Greylock and an undisclosed investor in late 2007.


CircuLite Inc.

Saddle Brook, N.J.


Amount/Round: $23.5M/C

Investors: Forbion Capital Partners (led), Crédit Agricole Private Equity, Foundation Medical Partners, Oxford Bioscience Partners.

Details: Develops an implantable ventricle medical device. The funding is the first tranche of an expected $33M round.


Proteon Therapeutics

Waltham, Mass.


Amount/Round: $38M/B

Investors: MPM Capital (led), Vectis Healthcare & Life Sciences Fund, TVM Capital, Skyline Ventures, Prism VentureWorks, Intersouth Partners.

Details: Develops drugs to treat vascular and kidney disease. The company previously raised $12M in funding. Steven St. Peter, managing director of MPM Capital, has joined the board. In other Proteon news, the company has signed an acquisition option with Novartis, which is dependent on regulatory approvals and is valued at about $550M.

Relypsa Inc.

Santa Clara, Calif.


Amount/Round: $10M/A

Investors: 5AM Ventures, New Leaf Partners, Sprout Group, Delphi Ventures, CMEA Ventures, Mediphase Venture Partners.

Details: Develops polymeric drugs to treat renal and cardiovascular diseases. The funding brings the Series A total to $43M, following a first close in late 2007. The company is a spinout of Ilypsa, which had raised venture capital from many of the same firms before being acquired by Amgen for $420M in early 2007.

Surface Logix Inc.

Brighton, Mass.


Amount/Round: $15M/E

Investors: ARCH Venture Partners, HBM BioVentures, Healthcare Focus, Intel Capital, Saudi Venture Development Co., Unilever Technology Ventures, Venrock.

Details: Develops small molecule drugs to treat metabolic and cardiovascular diseases. The company, which also secured a $5M venture loan from Silicon Valley Bank, previously raised about $75M in venture funding.


Work ‘n Gear

Weymouth, Mass.


Amount/Round: $6.5M/A

Investors: Sankaty Advisors (affiliate of Bain Capital), Walnut Investment Partners.

Details: Operates a chain of retail stores and an e-commerce website that sells clothing—such as steel-toe boots, pants with re-enforced knee pads, chef’s hats, scrubs and lab coats, for working people. Sankaty Managing Directors Stuart Davies and Michale Ewald and Senior Vice President Brett L’Esperance have joined the board.


Haute Secure Inc.



Amount/Round: $1.6M/A

Investors: Baseline Ventures, Sherpalo Ventures.

Details: Develops software to protect computers from malware.

Veracode Inc.

Burlington, Mass.


Amount/Round: $5M/C

Investors: .406 Ventures, Atlas Venture, Polaris Venture Partners, Macrovision Corp., Symentec Corp.

Details: Develops on-demand security analysis solutions. The funding is the first close of a $10M round, according to a regulatory filing. The company previously raised about $17M in funding.


Cornerstone OnDemand Inc.

Santa Monica, Calif.


Amount/Round: $9M/E

Investors: Meritech Capital, Bay Partners, Bessemer Venture Partners.

Details: Provides talent management software and services. The company has now raised more than $40M in funding since 2007.


San Jose, Calif.


Amount/Round: $7M/NA

Investors: Benchmark Capital.

Details: Develops semiconductor design software for the production of system-on-a-chip ICs. The funding is the first close of an expected $9.5M round of VC funding, according to a regulatory filing. The company previously raised $9M from Benchmark and Cadence Design Systems in two rounds in 2007.

Enclarity Inc.

Aliso Viejo, Calif.


Amount/Round: $5.5M/C

Investors: Bain Capital Ventures, Ignition Partners.

Details: Develops analytic software focused on the health care market. The company previously raised $16.5M.

Llesiant Inc.

Austin, Texas


Amount/Round: $4.3M/A

Investors: NA

Details: Develops enterprise software. The Bureau of National Affairs Inc. is listed as a shareholder in the regulatory filing, though it’s unclear if it is an investor in the company’s Series A round.

Notable Solutions Inc.

Rockville, Md.


Amount/Round: $5M/NA

Investors: Edison Venture Fund.

Details: Develops document management software solutions.

Onset Technology

Waltham, Mass.


Amount/Round: $3M/NA

Investors: The Cedar Fund (led), The Challenge Fund, Jerusalem Global Ventures.

Details: Provides message-conversion software solutions. The company has now raised more than $21M since 1998.


SendMe Inc.

San Francisco


Amount/Round: $12M/D

Investors: Triangle Peak Partners (led), True Ventures, Amicus Capital, Spark Capital, GrandBanks Capital.

Details: Develops mobile entertainment applications, such as ringtones and wallpaper. The company previously raised $21M in funding.