money moves

Houston fund makes first local investment in $8M deal

A Houston-based fund has deployed capital into a local nutritional supplement business. Photo via Instagram

A Houston-based investment fund has announced its its latest deal that includes an investment into a local direct-to-consumer supplement company.

GP Capital Partners has invested in Qualitas Health, known as iwi, which produces plant-based omega-3 and protein products that's sold directly to consumers as well as retailers across the United States. Iwi's nutrition supplement is sustainably sourced from the company's cultivation pond systems, which are the size of football fields and located in New Mexico and Texas.

“We are excited about our investment in iwi. They have a proprietary and scalable process to create in-demand products in a sustainable manner," says Gina Luna, principal of the fund, in the news release. "We look forward to working with iwi’s management team as they pursue this transformative opportunity.”

The $8 million deal — $5.5 million in senior secured term debt and a $2.5 million direct equity investment — will help iwi accelerate sales of its existing products and ramp up development, marketing, and growth of new protein-based product, according to the release. Iwi will also enter new international markets.

“The iwi team looks forward to working with GP Capital Partners following their investment in our growing company. We have big plans for accelerating our growth, and are pleased to partner with this team that brings both expertise and relationships to support us in this new stage of the company," says Miguel Calatayud, CEO of iwi, in the release.

Outside of GP, the Houston company's other investors include Grupo Indukern, Gullspång Re:food VC, PeakBridge VC, , Arancia Group, Trucent, SASA, and Minrav. GP launched its $275 million fund last year. It's structured as a Small Business Investment Company and will deploy funding into 20 to 25 companies within the Gulf Coast region.

The supplement company is based in Houston. Photo via Instagram

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Building Houston

 
 

With fresh funding, this Houston and Canada-based company has made an acquisition. Courtesy of Validere

After raising $43 million in funding for its series B round, Validere, a commodity management platform for the energy industry, has acquired Clairifi, whose technology helps energy businesses comply with environmental and regulatory requirements. Financial terms weren’t disclosed.

The funding round was closed in March and was led by Mercuria Energy and select funds and accounts managed by BlackRock, with participation from Nova Fleet, Pioneer Fund and NGIF Cleantech Ventures, as well as existing investors, including Wing VC and Greylock Partners, according to a news release.

“Validere’s mission is to ensure human prosperity through energy that is plentiful, sustainable and efficiently delivered," says Nouman Ahmad, Validere co-founder and CEO. "We facilitate this through integrating our customers’ core business with new environmental initiatives. In order to manage the energy transition well, environmental attributes cannot be managed in a silo, they need to be integrated in the day-to-day operations and commercial decisions."

Validere is based in Calgary, Alberta, and has its United States presence based in Houston. Clairifi also is based in Calgary. According to the company, the purchase of Clairifi strengthens Validere’s ESG (environmental, social, and governance) offerings.

“Companies across the energy supply chain are often burdened by the arduous task of compliance reporting, a time-intensive process that is usually performed manually in Excel spreadsheets by costly environmental consultants,” Validere says in a news release announcing the Clairifi deal. “These issues are coupled with constantly changing environmental, social and governance (ESG) policies, as well as disorganized data, which can cause confusion over meeting reporting requirements.”

Validere says that thanks to the integration of Clairifi, businesses can easily comply with current and future regulations from the U.S. Securities and Exchange Commission (SEC), and can access a central platform to accurately measure, manage, and forecast emissions strategies.

“The implementation of costs on carbon and emission reduction requirements introduce new immediate and long-term consequences that cascade from the field to head office,” says Corey Wood, co-founder and CEO of Clairifi. “While regulatory compliance is often considered a burden on industry, requiring resources and continuous innovation, if we are well-prepared, these challenges may be used as catalysts to revive, refresh and improve.”

As part of the acquisition, Wood has joined Validere as vice president of emissions, regulatory, and carbon strategy.

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