What a week it was if you were a startup looking to make a lot of cash. U.S. startups raised a dozen nine-figure rounds this week, greater than in any week this 12 months and perhaps last 12 months.
While the big round of artificial intelligence led the way, there has been huge growth in energy, quantum computing, neuroscience and other sectors. There has been an increase in big rounds this 12 months, and this week is a prime example of that. More than $125 million had to be raised to create this list.
1. CoreWeave$1.1 billion, artificial intelligence: Funding for AI startups increased barely in the first quarter of 2024 compared to the fourth quarter of 2023, and this trend could proceed in the second quarter given this week’s large round. CoreWeave, an AI cloud infrastructure startup, closed a $1.1 billion round led by Coat values the company at $19 billion, according to The Wall Street Journal. The valuation represents a nearly three-fold increase from the company’s valuation just five months ago, when it was valued at $7 billion after a secondary sale, and a huge jump from the company’s $2 billion valuation in its Series B extension last May. With the latest financing, the company has now raised roughly $4.6 billion, on Crunchbase data.
2. Pine Gate Renewable EnergyUSD 650 million, energy: Pine Gate Renewables ended April with a $650 million investment Generate capital, Health care under the Ontario Pension Plan AND HORSES. The Asheville, North Carolina-based developer of solar and energy storage products plans to use the recent funds to finance the construction of three gigawatts of unpolluted energy infrastructure in communities across the United States by next 12 months. Founded in 2014, the company has raised $1.7 billion, on Crunchbase.
3. PsiQuantum$620 million, quantum computing: PsiQuantum secured the largest round of funding for any quantum startup so far this 12 months, beating out How muchraised equity funds value USD 300 million, with a preliminary valuation of USD 5 billion in January. Palo Alto, California-based PsiQuantum received a $620 million financing package from the Commonwealth of Australia and Queensland Governments will build a quantum computer near Brisbane Airport in Brisbane, Australia. This round is actually a combination of equity, grants and loans, so it isn’t just equity. Founded in 2016, the company has raised over $1.3 billion, on Crunchbase.
4. Moving$475 million, autonomous vehicles: Hyundai has shown it is willing to spend big on Boston-based autonomous vehicle startup Motional. This week, the automaker agreed to invest $475 million directly in the startup while purchasing 11% of the three way partnership partner Aptivshares in the company for one other USD 448 million. Motional, formerly nuTonomy, was in the news just a few months ago supposedly securing a bridge loan to extend the runway until the next round of financing. This situation seems value monitoring.
5. (certain) Neurotech Blackrock$200 million, neuroscience: Stablecoin issuer Tether invested $200 million in Blackrock Neurotech to take a majority stake in the brain-computer interface startup. The Salt Lake City-based company creates brain-computer interfaces and implants that allow people to control computers and neuroprostheses. Before the recent round from Tether, the company had raised only $10 million, according to Crunchbase. The deal values Blackrock Neurotech at roughly $350 million, according to Reuters. The deal is the latest headline for brain-computer interface technology to be pushed Elon Musk‘S Neuralink. Musk’s company recently live-streamed a quadriplegic man playing video games using an implant and raised nearly $700 million. on Crunchbase.
5. (certain) BridgeBio Oncology Therapeutics$200 million, biotechnology: Biotech experienced a large spin-out, as BridgeBioPharma launched its BridgeBio Oncology Therapeutics subsidiary as its own company with $200 million in recent financing. The Palo Alto, California-based spin-out company will seek to expand its oncology portfolio. He managed the co-financing Cormorant asset management AND Omega Funds.
7. Island$175 million, cybersecurity: Financing for cybersecurity projects saw a modest rebound in the first quarter of the 12 months, and several large increases this week may indicate a continuation of that trend. Dallas-based enterprise browser developer Island raised a $175 million Series D at a $3 billion valuation, doubling its last valuation from lower than a 12 months ago. The round was led by a recent investor Coat and current investor Capital of Sequoia. Island is no stranger to big-money rounds. In October, it raised $100 million in a Series C round led by: The capital of Pryzm which valued it at $1.5 billion. In March 2022, the company announced a $115 million Series B at a $1.3 billion valuation led by Insight partners. Island has raised a total of $487 million in investment to date, according to the company.
8. Altruist$169 million, fintech: Los Angeles-based wealth management platform Altruist raised $169 million in Series E, led by Iconiq development which values the company at over $1.5 billion. Founded in 2018, Altruist has raised over $450 million for the company.
9. Core light$150 million, cybersecurity: Another big cyber round. Corelight, a San Francisco-based open network detection and response startup, has closed a $150 million Series E investment led by Speed upwith additional strategic investments from Cisco investments and CrowdStrike Falcon Fund. Founded in 2013, the company that uses web and cloud activity to detect and respond to threats has raised nearly $310 million, on Crunchbase.
10. Transparent$126 million, health care: San Francisco-based personalized healthcare platform Transcarent closed a $126 million Series D led by Generic catalytic converter AND 7wire ventures which values the company at $2.2 billion. Founded in 2020, Transcarent has raised roughly $450 million for the company.
Great global offers
US-based startups dominated investor money this week. The largest round outside the country would barely make the list above.
- Based in India PharmEasyonline health service that connects users with local pharmacies and labs has raised $216 million in funding.
Methodology
In the Crunchbase database, we tracked the largest announced rounds reported by U.S.-based firms over the seven-day period from April 27 to May 3. While most announced rounds are represented in the database, there could also be a slight delay as some rounds are reported late in the week.