Five Houston startups are off to a strong start to the new year, securing more than $320 million in venture funding. Most of that is due to his one huge deal with a geothermal company.
According to InnovationMap’s report, VC activity in Houston in the first quarter of 2024 spanned industries and stages, from pre-seed to Series E. That’s a lot of money raised in Houston in one quarter, but not in terms of closed deals, at least. Compared to the previous quarter, startups raised more than $170 million in nine deals.
From a national perspective, it’s not that big of a deal. According to PitchBook’s quarterly report, U.S. VC activity at the beginning of the year “showed itself to be one of the laggards in the world.” venture The market during the quarter was just $9.3 billion.” capital Funds raised in the US last quarter accounted for just 11.3% of the total raised in the already slowing market in 2023.
“While dry powder remains elevated, the slowdown in fundraising portends LP hesitancy toward VC and should predict a more difficult trading environment in the future,” said an email from PitchBook. is written. “While large mega-funds have driven funding trends for the past few years, VC funding in the first quarter suggests there may be no demand for such vehicles in today’s market. It shows.”
These are the five startup VC deals closed in Houston so far this year, InnovationMap reports.
Fervo Energy raises $244 million in latest funding round
Fervo Energy has secured $244 million in funding thanks to existing and new investors. Photo courtesy of Fervo Energy
The Oklahoma-based shale oil and gas leader backed Furbo Energy’s latest funding round, once again backing the startup’s geothermal technology.
Fervo announced its latest round of funding this week, worth $244 million. The round was led by Devon Energy, which has previously backed the startup.
“The demand for 24-hour clean energy has never been greater, and Next Generation Geothermal is uniquely positioned to meet this demand,” Fervo CEO and co-founder Tim Latimer said in a news release. “Our technology is completely de-risked, our pricing is already competitive, and our pipeline of resources is huge. With this investment, Fervo will turn geothermal into his 24/7 carbon-free energy source. We can continue to place it at the center of our production.” Click here to learn more about rounds.
Procyrion secures $57.7 million in Series E
Procyrion announced the closing of its Series E round of funding. Photo from Getty Images
Houston-born medical device company Procyrion has completed its Series E with $57.7 million in funding, including the conversion of $10 million in preliminary funding.
Procyrion is the company that developed Aortix, a pump designed to be placed in the descending thoracic aorta of heart failure patients and has been shown to improve heart function in critically ill patients. The funds raised will enable the company to move forward with the DRAIN-HF trial, a pivotal trial that will ultimately be used for FDA approval and commercialization.
The aorta is the brainchild of Houston cardiologist Reynolds Delgado. His CSO at Procyrion, Jace Heering (Delgado), said he gained experience with cardiac devices by working with legendary Texas Heart Institute surgeon OH “Bud” Fraser. He filed his first aorta-related patent in 2005. Click here to learn more about rounds.
Sage Geosystems closes $17 million Series A
Houston-based Sage Geosystems announced the first closing of a $17 million round led by Chesapeake Energy Corp. Photo courtesy of sagegeosystems.com
A Houston geothermal startup has announced the completion of its Series A round of funding.
Houston-based Sage Geosystems announced the first closing of a $17 million financing led by Chesapeake Energy. The proceeds will be used to fund the first commercial geopressure geothermal system facility to be built in Texas in the fourth quarter of 2024. The facility will be the first of its kind, the company said.
The venture will include participation from technology investors Arch Meredith, Helium-3 Ventures, and support from existing investors Virya, LLC, Nabors Industries Ltd., and Ignis Energy Inc.
“The completion of our first Series A financing and commercial facility are important milestones in our mission to make geopressure geothermal system technology a reality,” said Cindy Taff, CEO of Sage Geosystems, in a news release. I am. “The success of our GGS technology is not only important for Sage Geosystems to become profitable, it is also an essential step in accelerating the development of this unique geothermal baseload approach. Click here to learn more about rounds.
Ema raises $2 million in bridge funding
Ema, which operates as an AI-based chat focused on health and wellness for women, has raised additional funding. Screenshot provided by: Ema
A Houston-based startup working to improve women’s health and wellness with an artificial intelligence-powered platform has raised a bridge round of funding.
Ema has completed its latest bridge round, bringing total funding to nearly $2 million. The company has received investment from Kubera’s Venture Capital and Victorum Capital, joining existing investors Hearst Labs, Wormhole Capital, Acumen America, and Techstars.
Ema strives to provide users with “personalized, empathetic, and evidence-based support” through generative AI technology. The company says its platform has more than 100,000 users, and within just 30 days of pivoting to this model, it expanded into B2B and signed $100,000 in deals. Click here to learn more about rounds.
TrueLeap Inc. raises oversubscribed $610,000 in pre-seed round
The edtech company uses a suite of technologies, including software, hardware, and more, to offer a comprehensive approach to narrowing the digital divide. Photo courtesy of TrueLeap
An edtech startup has just secured funding to further its mission of improving access to education.
TrueLeap Inc., a global digital education startup addressing the digital divide in education, has raised $610,000, exceeding its $500,000 goal. The round was led by UK-based Maya Investments Limited.
“This oversubscribed funding round, led by Maya Investments Limited, demonstrates the urgent need for innovative education technology in emerging markets. Our commitment to providing affordable and integrated solutions is stronger than ever,” said Sandip Bordoloi, CEO and co-founder. he said in a TrueLeap news release. Click here to learn more about rounds.
