Originally expected to raise $150 million, Mercury's latest fund is the largest raised to date. Photo via mercuryfund.com

A Houston venture capital firm has announce big news of its latest fund.

Mercury, founded in 2005 to invest in startups not based in major tech hubs on either coast, closed its latest fund, Mercury Fund V, at an oversubscribed amount of $160 million. Originally expected to raise $150 million, Fund V is the largest fund Mercury has raised to date.

“We are pleased by the substantial support we received for Fund V from both new and existing investors and thank them for placing their confidence in Mercury,” Blair Garrou, co-founder and managing director of Mercury Fund, says in a news release. “Their support is testament to the strength of our team, proven investment strategy, and the compelling opportunities for innovation that exist in cities across America.”

The fund's limited partners include new and existing investors, including endowments at universities, foundations, and family offices. Mercury reports that several of these LPs are based in the central region of the United States where Mercury invests. California law firm Gunderson Dettmer was the fund formation counsel for Mercury.

Fresh closed, Fund V has already made investments in several companies, including:

  • Houston-based RepeatMD, a patient engagement and fintech platform for medical professionals with non-insurance reimbursed services and products
  • Houston and Cheyenne Wyoming-based financial infrastructure tech platform Brassica, which raised its $8 million seed round in April
  • Polco, a Madison, Wisconsin-based polling platform for local governments, school districts, law enforcement, and state agencies
  • Chicago-based MSPbots, a AI-powered process automation platform for small and mid-sized managed service providers

Mercury's investment model is described as "operationally-focused," and the firm works to provide its portfolio companies with the resources needed to grow rapidly and sustainably. Since 2013, the fund has contributed to creating more than $9 billion of enterprise value across its portfolio of over 50 companies.

“Over the past few years there has been a tremendous migration of talent, wealth and know-how to non-coastal venture markets and this surge of economic activity has further accelerated the creation of extraordinary new companies and technology," says Garrou. "As the first venture capital firm to have recognized the attractiveness of these incredible regions a dozen years ago, we are excited to continue sourcing new opportunities to back founders and help these cities continue to grow and thrive.”

This week's roundup of Houston innovators includes Youngro Lee of Brassica, Anu Puvvada of KPMG Studio, and Brock Murphy of Parent ProTech. Photos courtesy

3 Houston innovators to know this week

who's who

Editor's note: In this week's roundup of Houston innovators to know, I'm introducing you to three local innovators across industries — from corporate innovation to fintech — recently making headlines in Houston innovation.


Youngro Lee, founder of Brassica

Youngro Lee joins the Houston Innovators Podcast to discuss his latest endeavor on his mission to democratize investing. Photo courtesy

Brassica Technologies, a fintech infrastructure company that's providing a platform for alternative assets, is just the next step in his career in using tech to democratize finance. The idea came from Lee's experience as a startup founder and fintech exec — first at NextSeed and then at Republic, which acquired NextSeed two years ago.

"The reason why I thought this was what I wanted to focus on next was exactly because it was an issue I struggled with as a founder of NextSeed," Lee says on the show. "The backend was always an issue. There's not one single vendor that we felt really understood our business, was doing it efficiently, or enabled us to deliver those services to our end clients."

Lee shares more about the future of Brassica, including the challenges he's facing within regulation and the state of fintech as a whole, on the podcast. He also weighs in on how he's seen the Houston innovation ecosystem grow and develop alongside his own entrepreneurial journey. Read more.

Anu Puvvada, KPMG Studio leader

Anu Puvvada, KPMG Studio leader, shares how her team is advancing software solutions while navigating hype cycles and solving billion-dollar-problems. Photo courtesy of KPMG

In 2021, KPMG, a New York-based global audit, accounting, and advisory service provider, formed a new entity to play in the innovation space. The Houston-based team finds innovative software that benefit KPMG's clients across industries.

In an interview with InnovationMap, Anu Puvvada, leader of KPMG Studio, shares more about the program, its first spin out, and why she's passionate about leading this initiative from Houston.

"When you think about innovation as a whole, it's mired with risk and uncertainty," she says. "You never know if something's going to work or not. And part of what we have to do with any idea that we're building in the studio or anything that our clients are doing around innovation, we have to do as much as we can to mitigate that risk and uncertainty. And that's kind of what KPMG's wheelhouse is." Read more.

Brock Murphy, Parent ProTech co-founder

Brock Murphy launched Parent ProTech last fall. Photo via parentprotech.com

Houston-based Parent ProTech is a one-stop shop for parental education on technology and applications that their kids use.

“Our goal is to make everyone the best digital parent possible,” Brock Murphy, Parent ProTech co-founder, tells InnovationMap. “We understand technology and the role it plays in influencing the next generation. So we help parents when it comes to understanding the platforms, how to use them and how to unlock the parental controls that can be hidden, deeper into these platforms.”

Murphy — with co-founder Drew Wooten and creative director Joshua Adams — launched the platform in September 2022. Since then, Parent ProTech has made its mark through partnerships with schools in Texas. Read more.

Youngro Lee joins the Houston Innovators Podcast to discuss his latest endeavor on his mission to democratize investing. Photo courtesy

Houston entrepreneur furthers mission of democratizing finance with latest venture

HOUSTON INNOVATORS PODCAST EPISODE 186

After seeing through an exit of his first startup NextSeed, lawyer-turned-entrepreneur Youngro Lee took on a leadership role at the acquiring company, Republic. But his fintech innovation wheels kept turning.

"Brassica is, I personally consider, an extension and a national evolution of my original starting point," Lee says on the Houston Innovators Podcast, "which is basically to democratize finance so that everyone can have access to alternative assets as part of their wealth management investments or even for pleasure to just be able to invest in things they believe in."

Brassica Technologies Inc. is a fintech infrastructure company that's providing a platform for alternative assets, Lee explains. While investments in the public markets have platforms already, there are other investment opportunities that are managed in a less optimized way for investors.

Lee says there hasn't been a seamless solution created for the backend of these transactions, things like custody of those assets or transferring and keeping track of them.

"The reason why I thought this was what I wanted to focus on next was exactly because it was an issue I struggled with as a founder of NextSeed," Lee says on the show. "The backend was always an issue. There's not one single vendor that we felt really understood our business, was doing it efficiently, or enabled us to deliver those services to our end clients."

Lee says he has been working on addressing this gap in the market for the past two years under his role at Republic. After holding an executive position at the company as a whole, he currently oversees the Asian market as general partner of Republic Asia.

"We didn't know where this process was going to go. It was a corporate initiative to try to understand what the market needs — because we needed it," Lee says. "We quickly realized that this idea can be really big. Once we had that conclusion, that the problem we're trying to solve and the opportunity that the market presents is significant enough, we knew Brassica deserves to be its own company."

Shortly after that, Lee started reaching out to potential investors and raised an $8 million seed round to take the company out of stealth last month. Houston-based Mercury Fund led the round, with participation from Valor Equity Partners, Long Journey Ventures, NGC Fund, Neowiz, Broadhaven Ventures, Armyn Capital, VC3DAO, Alpha Asset Management (Korea), and other global FinTech investors participated in the round.

Lee shares more about the future of Brassica, including the challenges he's facing within regulation and the state of fintech as a whole, on the podcast. He also weighs in on how he's seen the Houston innovation ecosystem grow and develop alongside his own entrepreneurial journey. Listen to the interview below — or wherever you stream your podcasts — and subscribe for weekly episodes.


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Houston firm invests $150M in leading 'lab on a chip' medical diagnostics co.

fresh funds

Houston-based health technology investment firm Hamershlag Private Capital Management Limited (HPCM) announced a $150.15 million venture investment in Patho Care LLC.

Patho Care is a “lab on a chip” medical diagnostics company known for its noninvasive point-of-care testing platforms, such as its Raman spectroscopy-based platform.

Its digital point-of-care testing devices are programmable, mobile, and reusable and can detect current or future respiratory bacterial or viral infections. The company says the technology is more cost-effective and provides results faster than traditional diagnostic methods.

“Patho Care LLC is a distinguished leader in healthcare diagnostics through the utilization of a novel approach with spectroscopy and this investment aligns with HPCM’s strategy of partnering with high-potential companies in dynamic industries,” L. Mychal Jefferson, Chairman of Hamershlag, said in a news release.

The transaction was structured as an acquisition and recapitalization using newly issued common stock and cash, which will work through a newly formed entity, PathoCare Holdings Inc. The deal will also facilitate the repayment of Patho Care LLC's existing financial obligations and settle Patho Care’s outstanding notes, helping ensure the company’s financial readiness, according to the release.

The investment will help Patho Care LLC improve operational efficiencies, broaden its service offerings and continue to innovate in the diagnostic testing space. The companies hope the collaboration will help “unlock new growth opportunities while maintaining the company’s legacy of excellence in an emerging technology,” according to a news release.

“Our commitment to delivering transformative value through innovative investments underscores our confidence in Patho Care’s vision and capabilities,” Jefferson added.

10+ can't-miss Houston business and innovation events for February

WHERE TO BE

From talks with the hall-of-fame beauty business founders to agtech and AI summits, Houston will host a number of events focused on innovation and innovators in February.

Here’s what not to miss and how to register.

Note: This post might be updated to add more events.

Feb. 7 – SheSpace Offsite: Coffee & Connection

Get out of the office and head over to Midtown network with fellow SheSpace members and working women via coffee and conversation.

This event is Friday, Feb. 7, from 2-4 p.m. at Kefita Coffee. RSVP here.

Feb. 11 – Texas Business Hall of Fame x Ion: Creators Series with Founders Janet Gurwitch (Laura Mercier) and Tiffany Masterson (Drunk Elephant)

Take part in Texas Business Hall of Fame’s launch of its Creators 2025 speaker series. Janet Gurwitch, founder of Laura Mercier, and Tiffany Masterson, founder of Drunk Elephant, will discuss lessons learned while building their global retail brands and their successful exits.

This event is Tuesday, Feb. 11, from 8–10 a.m. at the Ion. Register here.

Feb. 11 – How to Start a Startup

Gain insight from Mercury Fund’s Heath Butler and stick around for a happy hour afterward. This session, originally scheduled for Jan. 21, is geared toward entrepreneurs, small business owners, investors and academic partners

This event is Tuesday, Feb. 11, from 5:30–7 p.m. at the Ion. Register here.

Feb. 15 – Ion Family Tech Day: Youth Entrepreneurship with Lemonade Day University

Bring the whole family out to the Ion for a family-friendly entrepreneurial workshop with Lemonade Day. Kids can compete in a pitch competition to win free supplies, and trained instructors will coach kids on how to set goals, develop a business or marketing plan and budget, create a brand, save and invest money, and more.

This event is Saturday, Feb. 15, from 10 a.m.–12:30 p.m. at the Ion. Register here.

Feb. 18 — Female Founders and Friends

Connect with like-minded female founders, funders, and allies at this recurring event. Female Founders & Friends is open to all industries and coffee is provided.

This event is Tuesday, Feb. 18, at 9 a.m. at Sesh Coworking. Register here.

Feb. 20 — Diaspora Africa Conference

Come together to hear inspiring speakers, participate in interactive workshops and network with others who are passionate about African heritage and the contributions of the African diaspora. This event will showcase African innovation and allow attendees to connect with funding sources actively seeking high-growth opportunities in Africa.

This event is Thursday, Feb. 20, from 9 a.m.–6 p.m. at the Ion. Register here.

Feb 20–21 — TMC AI Summit 2025

The TMC AI Summit aims to translate advanced AI innovations into practical solutions for real-world biomedical and health care challenges by bringing together researchers, clinicians, and industry leaders. The event features various workshops and tracks with keynote speakers from Rice University, UTHealth, Microsoft Health Futures and other organizations.

This event is Thursday, Feb. 20, from noon–7 p.m. and Friday, Feb. 21, from 8 a.m.–5 p.m. at TMC Helix Park in the TMC3 Collaborative Building. Register here.

Feb. 25 — Houston Methodist Leadership Speaker Series at Ion - Tesha Montgomery

Hear from Houston Methodist’s SVP of System Patient Access about how the health care system is approaching improvements to patient access and highlighting women in health care leadership. Audiences can participate in a 30-minute discussion following Montgomery’s remarks.

This event is Tuesday, Feb. 25, from 4:45–6 p.m. at the Houston Methodist Tech Hub at the Ion. Register here.

Feb. 26 — Inaugural HTX AgTech Rodeo Innovation Summit 2025

Network with farmers, founders, startups and investors at the first-ever HTX AgTech Rodeo Innovation Summit. The all-day event will feature panels, fireside chats, a Saddle Up Pitch Competition and reception with live music.

This event is Wednesday, Feb. 26, from 8:30 a.m.–8 p.m. Find more information and register here.

Feb. 27 — NASA Tech Talks

Every fourth Thursday of the month, NASA experts, including longtime engineer Montgomery Goforth, present on technology development challenges challenges NASA’s Johnson Space Center and the larger aerospace community are facing and how they can be leveraged by Houston’s innovation community. Stick around after for drinks and networking at Second Draught.


This event is Thursday, Feb. 27, from 6-7 p.m. at the Ion. Register here.

Feb. 27–28 – QVIDTVM x The Ion: Inaugural Hack Day Competition

Investment firm QVIDTVM and the Ion are calling all data scientists, analysts, developers and innovators to a new hack day. Participants will aim to find the total value of real estate platformed by Airbnb globally and can participate in a Fireside Chat on AI with Nick King, founder and CEO of Data Kinetic. Teams can include up to four people and prizes for first through third place will be awarded.

This event is Thursday, Feb. 27, at 9:30 a.m. until Friday, Feb. 28, at 5 p.m. at the Ion. Register here.


Houston humanoid robotics startup secures millions in pre-seed funding

my robot

A Houston-based startup developing AI-powered humanoid robots for manufacturers and other businesses has raised more than $10 million in pre-seed funding less than a year after its founding.

Nic Radford, co-founder and CEO of Persona AI, declines to disclose the amount raised. However, he tells InnovationMap that it was an eight-figure total.

While not providing names, Radford says Persona AI’s first outside investors include VC firms, institutions and high-net-worth individuals in the U.S., London and Singapore. One of the high-net-worth investors was among the first employees at SpaceX, Elon Musk’s Brownsville, Texas-based aerospace company, according to Radford.

No Houston investors have participated in the funding round yet. However, Radford says he’s working on bringing aboard one local investor before the round closes.

“Houston’s the perfect city to do a company like this in,” Radford says. “It’s just not the perfect investor climate, but it's the perfect city from a customer aspect.”

Persona AI’s pre-seed funding comes amid a dramatic surge in investment capital chasing AI startups. Global funding for AI-related companies exceeded $100 billion in 2024, up more than 80 percent from the 2023 total, Crunchbase data shows.

Radford and co-founder Jerry Pratt, the startup’s chief technology officer, bootstrapped Persona AI. The third co-founder, Jide Akinyode, serves as Persona AI’s chief operating officer. Radford and Akinyode helped develop NASA’s six-foot-two-inch Valkyrie humanoid robot and both are former employees of Webster-based Nauticus Robotics, a provider of autonomous subsea robots.

Persona AI launched last June in what Radford calls “anti-stealth mode.” The startup is close to announcing its first customer, which does business in the industrial sector. Persona AI expects customers to take delivery of its first robot in 18 to 24 months, Radford says.

Persona AI will operate primarily as a robotics-as-a-service provider, with the company retaining ownership of the lifelike robots and selling the labor that they supply. Radford says the startup’s robots will help alleviate a shortage of skilled labor in sectors like manufacturing.

A report released last year by consulting firm Deloitte and the Manufacturing Institute declared that as many as 1.9 million manufacturing jobs in the U.S. could go unfilled between 2024 and 2033 due to a skills gap and a tight labor market.

Persona AI competes in a market with enormous potential. In November, analysts at Citi Global Insights projected that the global market for humanoid robots could soar to $7 trillion by 2050, with 650 million of the robots tackling all sorts of jobs.

Radford says Personal AI is developing a “rugged” five-foot-eight-inch humanoid robot that’s able to survive tough indoor and outdoor conditions and take on tasks like carting around sheet metal, tending to metal-stamping machines, moving storage bins and handling order fulfillment. He likens his company’s robot prototype to a Ford F-150 pickup truck, compared to the less-sturdy versions produced by robotics competitors, which he calls the Toyota Camry or Volkswagen Beetles of the field.

Radford says he and his team “are building a really compelling startup in one of the hottest markets and one of the greatest cities.” Employees work at Persona AI’s headquarters in Houston or its satellite office in Pensacola, Florida, where Pratt is located.

“We don’t hire anybody that’s not a rock star or superstar,” says Radford, “and I think the city is going to benefit tremendously from our efforts at Persona.”

Radford saw his last company, Nauticus Robotics, from founding to IPO, left the company in January and previously told InnovationMap that he couldn't get the idea of advancing humanoid robotics out of his head. Read more here.