Houston e-commerce company raises another $40M round to support growth

money moves

P97 Networks has again raised $40 million to support its growth. Photo via Getty Images

For the second time in just over a year, a Houston business that provides mobile commerce and digital marketing to the mobility and fuel industries has raised $40 million.

P97 Networks, which has developed a cloud-based mobile commerce platform that helps brands securely do business with customers, announced that it has closed its series C round at $40 million. The equity financing round was led by Portage and included participation from existing investors. The fresh funding will go to support growth strategy.

"In this highly connected world, retail brands are looking for new ways to increase consumer engagement — the power of network effects in the digital world will be a key contributor to revenue growth and margins," says Donald Frieden, CEO of P97 Networks, in a news release. "With consumers of all ages further adopting mobile payment solutions, we are proud to have built the leading connected commerce and digital marketing platform for the convenience retail, energy marketing, and transportation industry."

In January of 2022, P97 raised $40 million, and, according to Crunchbase, the company has secured a total of $109 million in funding since its founding in 2012.

The company's unique platform is used by a majority of the retail fuel market in North America, per the release, with the intention of expanding further into the fleet, connected car, and EV charging markets. The technology also enables engagement and secure transactions, using tokenized payments and personalization.

"P97 has quickly established itself as a dominant mobile commerce solution for the North American retail convenience and fuel market," says Dan Ballen, partner and co-head of Portage Capital Solutions, in the release. "The company will continue to benefit from accelerating consumer adoption of mobile payments, while also leveraging its best-in-class technology to capitalize on compelling opportunities in adjacent verticals."

Toronto-based Portage is focused on the fintech and financial services sectors, and its investment derives from the recently launched Portage Capital Solutions strategy.

"We are thrilled to partner with P97 on our first Portage Capital Solutions investment and look forward to helping Don and the team drive their long-term vision," says Adam Felesky, CEO of Portage, in the release.

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How a Houston company is fighting anxiety, insomnia & Alzheimer’s through waveforms

mental health

A Houston-based company is taking a medicine-free approach to target brain neurologically associated with mental illness.

Nexalin Technology’s patented, FDA-cleared frequency-based waveform targets key centers of the midbrain to support the normalization of neurochemicals through a process known as Transcranial Alternating Current Stimulation (tACS). Delivered via a non-invasive device, the treatment gently stimulates the hypothalamus and midbrain, helping to “reset networks associated with symptoms” of anxiety and insomnia. Early clinical evidence suggests this approach can promote healthier brain function and improved sleep.

Through its recently appointed scientific advisory board (SAB), Nexalin also aims to target Alzheimer’s disease with a clinical development pipeline supported by published data and internal data from studies involving its proprietary DIFS technology. Nexalin’s Gen-2 SYNC and Gen-3 Halo headset delivers the DIFS, which is a waveform that can penetrate deep brain structures implicated in cognitive decline and mental illness.

The board includes experts in neurology, neuroimaging and neurodegenerative diseases with Dr. Mingxiong Huang, Dr. David Owens, and Dr. Abe Scheer coming on board. Nexalin plans to initiate new Alzheimer’s-focused clinical studies in the Q3 2025 by incorporating cognitive testing, imaging biomarkers, and guided metrics to assess treatment efficacy and neural activation.

“I am excited to work alongside Nexalin’s leadership and fellow SAB members to help guide the next generation of non-invasive neuromodulation therapies,” Huang said in a news release. “The intersection of neuroimaging, brain stimulation, and clinical science holds enormous potential for treating neurodegenerative disease.”

Recently, Nexalin’s proprietary neurostimulation device moved forward with a clinical trial that evaluated its treatment of anxiety disorders and chronic insomnia in Brazil. The first of Nexalin’s Gen-2 15-milliamp neurostimulation devices was shipped to São Paulo, Brazil, and the study will be conducted at the Instituto de Psiquiatria University Hospital (IPq-HCFMUSP). The shipments aim to support the launch of a Phase II clinical trial in adult patients suffering from anxiety and insomnia. The Nexalin Gen-2 15-milliamp neurostimulation device has also been approved in China, Brazil and Oman. Its Gen 1 device first received FDA clearance in 2003, according to the company's website.

The company also enrolled the first patients in its clinical trial at the University of California, San Diego, in collaboration with the VA San Diego Healthcare System for its Nexalin HALO, which looks to treat mild traumatic brain injury and post-traumatic stress disorder in military personnel and the civilian population.

Nexalin previously raised $5 million through a

public stock offering.

Houston innovation hub announces first cohort for energy-focused accelerator

Powering Up

Energytech Nexus, a Houston-based hub for energy startups, has named its inaugural cohort of 14 companies for the new COPILOT accelerator.

COPILOT partners with Browning the Green Space, a nonprofit that promotes diversity, equity and inclusion (DEI) in the clean energy and climatech sectors. The Wells Fargo Innovation Incubator (IN²) at the National Renewable Energy Laboratory backs the COPILOT accelerator.

The eight-month COPILOT program offers mentorship, training and networking for startups. Program participants will be tasked with developing pilot projects for their innovations.

Two Houston startups are members of the first COPILOT class:

  • GeoFuels, housed at Houston’s Greentown Labs, has come up with a novel approach to hydrogen production that relies on geothermal power and methane decomposition.
  • PolyQor, which converts plastic waste into eco-friendly construction materials. Its flagship EcoGrete product is an additive for concrete that enhances its properties while reducing carbon emissions. PolyQor’s headquarters is at Houston’s Greentown Labs.

Other members of the COPILOT cohort are:

  • Birmingham, Alabama-based Accelerate Wind, developer of a wind turbine for commercial buildings.
  • Ann Arbor, Michigan-based Aquora Biosystems, which specializes in organic waste biorefineries.
  • Phoenix-based EarthEn Energy, a developer of technology for thermo-mechanical energy storage.
  • New York City-based Electromaim, which installs small hydro-generators in buildings’ water systems.
  • Chandler, Arizona-based EnKoat, an advanced materials company whose flagship product, the IntelliKoat System, is a patented two-layer thermal and weather barrier roof coating for flat and low-slope commercial buildings.
  • Calgary, Canada-based Harber Coatings, which manufactures electroless nickel coating and electroless nickel plating.
  • Dallas-based Janta Power, which designs and makes 3D solar towers.
  • Miami-based NanoSieve, a developer of gas remediation technology.
  • Palo Alto, California-based Popper Power, which has developed a platform that turns streetlight networks into resilient, maintenance-free distributed charging infrastructure.
  • Buffalo, New York-based Siva Powers America, developer of small wind turbines for farms, utility companies and others with annual energy needs of 300,000 to 2 million kilowatt-hours.
  • Los Angeles-based Thermoshade, which specializes in cooling panels for outdoor environments.
  • Waukesha, Wisconsin-based V-Glass, Inc., developer of a vacuum-insulated glass for affordable high-efficiency windows.

“These startups reflect the future of energy access and resilience innovation,” said Juliana Garaizar, founding partner of Energytech Nexus. “By connecting them directly with partners through COPILOT, we’re helping them overcome the ‘pilot gap’ to build solutions that scale.”

The startups will run pilot projects along the Gulf Coast for their inventions.

Rice University's top innovation exec leaving for new role at UVA

moving on

Paul Cherukuri, Rice University's top innovation executive, responsible for some of Rice’s major innovative projects like the Rice BioTech LaunchPad and Rice Nexus, will leave the university next month to accept a position at the University of Virginia.

Cherukuri, Rice’s first vice president for innovation and chief innovation officer, will become the University of Virginia’s Donna and Richard Tadler University Professor of Entrepreneurship and the school's first chief innovation officer, according to a release from Rice. Cherukuri, who has served for more than 10 years at Rice, plans to depart his current position on Sept. 30.

Adrian Trömel, associate vice president for innovation strategy and investments at Rice, will serve as interim vice president for innovation and chief innovation officer after Cherukuri departs, and as the university starts an international search for his replacement.

“We appointed Paul to build an ambitious and high-functioning innovation operation, and he has succeeded remarkably in short order,” Rice President Reginald DesRoches said in the release. “In every area, from technology translation and startup creation to commercialization and entrepreneurship training, he has led the effort to vastly improve our structure, operations and relationships. He has contributed immensely both to our strategies and their implementation across numerous areas, and we’ll miss him greatly.”

Cherukuri is a physicist, chemist and medical technology entrepreneur, and has been a member of DesRoches’ leadership team since 2022. Cherukuri served as executive director of Rice’s Institute of Biosciences and Bioengineering from 2016 to 2022, where he helped in the development of interdisciplinary translational research partnerships with federal and corporate agencies. His work helped earn nearly $37 million in funding for accelerating the development of new technologies into commercial products. In the energy transition field, Cherukuri led a $12.5 million partnership with Woodside Energy to transform greenhouse gases into advanced nanomaterials for next-generation batteries and transistors.

Initiatives the Rice Biotech Launch Pad, an accelerator focused on expediting the translation of the university’s health and medical technology; RBL LLC, a biotech venture studio in the Texas Medical Center’s Helix Park dedicated to commercializing lifesaving medical technologies from the Launch Pad; and Rice Nexus, an AI-focused "innovation factory" at the Ion; were all launched under Cherukuri’s leadership. With his work at the Ion, Cherukuri also led the announcement of a partnership with North America’s largest climate tech incubator, Greentown Labs.

“I am proud of the relentless innovative spirit we have built for Rice in Houston and around the world,” Cherukuri said in the release. “I look forward to bringing new energy and vision to UVA’s efforts in this critical space for our country, its success and future.”

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