March Biosciences' oversubscribed raise brought in $28.4 million of financing with Mission BioCapital and 4BIO Capital leading the pack of investors. Photo via Getty Images

An emerging biotech company in Houston has closed its series A with outsized success.

March Biosciences' oversubscribed raise brought in $28.4 million of financing with Mission BioCapital and 4BIO Capital leading the pack of investors. The company has now raised more than $51 million in total.

Last year, March Biosciences announced its strategic alliance with CTMC (Cell Therapy Manufacturing Center), a joint venture between MD Anderson Cancer Center and National Resilience. CEO Sarah Hein met her co-founder, Max Mamonkin, at the TMC Accelerator for Cancer Therapeutics. Along with fellow co-founder Malcolm Brenner, March Biosciences launched from the Center for Cell and Gene Therapy (Baylor College of Medicine, Houston Methodist Hospital and Texas Children’s Hospital). Its goal is to fight cancers that have been unresponsive to existing immunotherapies using its lead asset, MB-105.

An autologous CD5-targeted CAR-T cell therapy, MB-105 is currently in phase-1 trials in patients with refractory T-cell lymphoma and leukemia. The treatment is showing signs of being both safe and effective, meriting a phase-2 trial that will begin early next year. The funds raised from the series A will help to finance the Phase 2 clinical development of MB-105 to expand on the existing data with optimized manufacturing processes.

“This oversubscribed financing enables us to advance our first-in-class CAR-T therapy, MB-105, into a Phase 2 trial for T-cell lymphoma – an indication with an exceptionally poor prognosis and few treatment options,” says Hein. “With the support and confidence of our investors, we are not only advancing our lead program but also expanding our pipeline, underscoring our commitment to delivering best-in-class therapies to patients that can change the treatment paradigm for these challenging cancers.”

But that’s not the only exciting news that Hein and her associates have to report. March Biosciences has recently partnered with cell therapy venture studio, Volnay Therapeutics. Led by highly experienced cell therapy development veterans, the March Biosciences team will work to develop a scalable manufacturing process for MB-105 that will lead to commercialization. Volnay co-founder and CEO Stefan Wildt, who held key R&D leadership positions in cell and gene therapy units at Novartis and Takeda, has also joined the board of March Biosciences. The board of directors is also welcoming Cassidy Blundell of Mission BioCapital and Owen Smith of 4BIO Capital.

“The team at March Biosciences is leveraging powerful science and promising clinical data to tackle cancers with significant unmet need,” says Blundell, a partner at Mission BioCapital. “We're excited to support their journey and believe their focused approach with MB-105 could lead to significant breakthroughs in the CAR-T space.”

The Houston-born company, which is a finalist for the 2024 Houston Innovation Awards, continues to accelerate quickly, in part thanks to its home base. After all, existing local investors like TMC Venture Fund also participated in the new raise. As Hein said last year, “Working with partners here in Houston, we have all the pieces and the community rises to the occasion to support you.”

Shreyans Chopra, founder of Mstack, is celebrating the close of his company's $40 million series A. Photo courtesy of Mstack

Innovative Houston chemicals manufacturing platform provider raises $40M series A

money moves

Houston-based Mstack, whose platform helps manufacturers source specialty chemicals, has raised $40 million in a series A funding round.

Lightspeed Venture Partners and Alpha Wave Incubation led the round, which includes a debt facility from HSBC Innovation Banking and money from several angel investors.

In a news release, Mstack says the infusion of cash will enable it to “double down on its mission to disrupt a historically flawed supply chain for specialty chemicals.”

This “doubling down” will include expansion of Mstack’s footprint in the U.S., Middle East, Latin America, and Asia.

“Geopolitical dynamics pose risks for supply chain disruptions in the global specialty chemicals market,” Bejul Somaia, a partner at Lightspeed, says in a news release.

“With demand for these chemicals growing rapidly, there is a need to increase R&D investments and unlock new pockets of supply,” he adds. “As the first institutional investor in Mstack, we believe that the company has tremendous potential to lead this transformation.”

Mstack, founded in 2022, currently serves four business sectors: oil and gas, coatings, water treatment, and home and personal care. The funding will enable it to move into industry segments such as agrochemicals and pharmaceuticals.

The Mstack platform gives buyers a one-stop shop for sourcing, testing, shipping, delivering, and tracking specialty chemicals.

“This new funding affirms investor confidence in our vision and technology to transform global markets. It enables us to expand geographically and intensify our R&D efforts,” Mstack founder Shreyans Chopra says.

Houston-based Citroniq Chemicals has secured its series A funding. Photo via Getty Images

Houston company secures $12M series A for decarbonization plant

money moves

A fresh $12 million round of funding will enable Houston-based Citroniq Chemicals to propel planning, design, and construction of its first decarbonization plant.

An unidentified multinational energy technology company led the series A round, with participation from Houston-based Lummus Technology Ventures and cooperation from the State of Nebraska. The Citroniq plant, which will produce green polypropylene, will be located in Nebraska.

“Lummus’ latest investment in Citroniq builds on this progress and strengthens our partnership, working together to lower carbon emissions in the plastics industry,” Leon de Bruyn, president and CEO of Lummus Technology, says in a news release.

Citroniq is putting together a decarbonization platform designed to annually capture 2 million metric tons of greenhouse gas emissions at each plant. The company plans to invest more than $5 billion into its green polypropylene plants. Polypropylene is a thermoplastic resin commonly used for injection molding.

The series A round “is just the first step in our journey towards building multiple biomanufacturing hubs, boosting the Nebraska bioeconomy by converting local ethanol into valuable bioplastics,” says Kelly Knopp, co-founder and CEO of Citroniq.

Citroniq’s platform for the chemical and plastics industries uses technology and U.S.-produced ethanol to enable low-cost carbon capture. Citroniq’s process permanently sequesters carbon into a useful plastic pellet.

Lummus Technology licenses process technologies for clean fuels, renewables, petrochemicals, polymers, gas processing and supply lifecycle services, catalysts, proprietary equipment, and digital transformation.

Prana Thoracic Inc., a Houston medical device company developing a tool for early interception of lung cancer, announced an additional $3 million in funding. Photo via Getty Images

Houston medtech startup secures additional $3M for lung cancer diagnostic tool

fresh funding

A Houston-based medtech startup with an innovative tool that's aiming to transform lung cancer intervention has closed its series A extension round.

Prana Thoracic announced an additional $3 million in funding, a raise that was oversubscribed by 30 percent, reports the company. The company's series A originally closed in March 2023 at $3 million. In August of 2022, the company secured $3 million in grant funding.

"We are grateful for the overwhelming support from our investors in this financing round. Their confidence in our mission and plan is motivating,” Joanna Nathan, CEO and co-founder of Prana Thoracic, says in a news release. “This additional funding will enable us to accelerate our efforts in bringing precision surgical solutions to lung cancer patients worldwide.”

The extension included participation from new investors, including cultivate(MD), GenHenn Capital, and Houston Angel Network, as well as from prior lead investor New World Angels. Existing investors — Johnson & Johnson Development Corp, Texas Medical Center Venture Fund, and the Cancer Prevention & Research Institute of Texas (CPRIT) — also support the company.

"We are excited to support Prana Thoracic in their mission to improve lung cancer treatment. Their innovative approach has the potential to significantly impact patient outcomes," says Dr. R. Sean Churchill, managing director of cultivate(MD), in the release.

The additional funding will support the company as it advances through its clinical and regulatory plans.

“The team has made remarkable progress in developing this novel and minimally invasive technique for lung tissue excision, which has the potential to transform the diagnosis and treatment of early-stage lung cancer," adds Dr. Edward M. Boyle, founder and director at the company. "Beyond lung applications, they are pioneering new methods to use this technology for other soft tissues and are actively exploring integration with ablation and robotic systems, aligning with the future direction of these fields."

In 2022, Nathan joined the Houston Innovators Podcast to discuss her passion for Prana Thoracic's innovation. Listen to the episode below.

Branch Energy aims to provide customers with clean energy at a lower cost than competitors. Photo via Getty Images

Houston clean energy co. raises $10.8M series A

fresh funding

A tech-driven retail energy provider based in Houston has secured an oversubscribed series A round of funding.

Branch Energy raised a $10.8 million round led by climate-focused venture capital firm Prelude Ventures with co-investor Zero Infinity Partners, an infrastructure tech-focused firm. The fresh funding will go toward accelerating the company's battery management tech and build out the infrastructure of its field services.

A vertically integrated power provider, Branch Energy aims to provide customers with demand management software and battery storage systems to ensure long-term, stable, and clean energy at a lower cost than competitors.

“Our century-old grid design is not equipped for the complexity of today’s energy needs," Alex Ince-Cushman, Branch Energy co-founder and CEO, says in a news release. “Optimizing distributed energy assets in real-time will play an increasingly important role in managing the grid. We built Branch from the ground up as a technology company, allowing us to deliver value to customers in this new era of distributed energy by reducing costs while improving reliability."

The company chose Texas as its inaugural market based on the stress of the grid in the state, the company says in the release. Since 2021 when Branch Energy launched, it has signed up thousands of customers for its 100 percent clean energy service. The business proposition includes lowering customer's energy bills by 5 to 10 percent.

“The power grid, especially in Texas, requires distributed generation and flexible loads as basic economics drives deployment of more renewable resources,” Tim Woodward, managing partner at Prelude Ventures, adds. “Across the country, we are experiencing a major shift toward a decentralized and decarbonized grid. Branch Energy is bringing value to its customers through deployment of intelligent storage that lowers costs and improves reliability.”

Branch Energy, which is available now in some Texas regions, had previously raised $5.5 million in seed and pre-seed funding, per Crunchbase.

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This article originally ran on EnergyCapital.

The series A funding will support the deployment of its biochar machines across Texas, Oklahoma, Arkansas, and Louisiana. Photo courtesy of Applied Carbon

Houston climatetech startup raises $21.5M series A to grow robotics solution

seeing green

A Houston energy tech startup has raised a $21.5 million series a round of funding to support the advancement of its automated technology that converts field wastes into stable carbon.

Applied Carbon, previously known as Climate Robotics, announced that its fresh round of funding was led by TO VC, with participation from Congruent Ventures, Grantham Foundation, Microsoft Climate Innovation Fund, S2G Ventures, Overture.vc, Wireframe Ventures, Autodesk Foundation, Anglo American, Susquehanna Foundation, US Endowment for Forestry and Communities, TELUS Pollinator Fund for Good, and Elemental Excelerator.

The series A funding will support the deployment of its biochar machines across Texas, Oklahoma, Arkansas, and Louisiana.

"Multiple independent studies indicate that converting crop waste into biochar has the potential to remove gigatons of CO2 from the atmosphere each year, while creating trillions of dollars in value for the world's farmers," Jason Aramburu, co-founder and CEO of Applied Carbon, says in a news release. "However, there is no commercially available technology to convert these wastes at low cost.

"Applied Carbon's patented in-field biochar production system is the first solution that can convert crop waste into biochar at a scale and a cost that makes sense for broad acre farming," he continues.

Applied Carbon rebranded in June shortly after being named a top 20 finalist in XPRIZE's four-year, $100 million global Carbon Removal Competition. The company also was named a semi-finalist and awarded $50,000 from the Department of Energy's Carbon Dioxide Removal Purchase Pilot Prize program in May.

"Up to one-third of excess CO2 that has accumulated in the atmosphere since the start of human civilization has come from humans disturbing soil through agriculture," Joshua Phitoussi, co-founder and managing partner at TO VC, adds. "To reach our net-zero objectives, we need to put that carbon back where it belongs.

"Biochar is unique in its potential to do so at a permanence and price point that are conducive to mass-scale adoption of carbon dioxide removal solutions, while also leaving farmers and consumers better off thanks to better soil health and nutrition," he continues. "Thanks to its technology and business model, Applied Carbon is the only company that turns that potential into reality."

The company's robotic technology works in field, picking up agricultural crop residue following harvesting and converts it into biochar in a single pass. The benefits included increasing soil health, improving agronomic productivity, and reducing lime and fertilizer requirements, while also providing a carbon removal and storage solution.

"We've been looking at the biochar sector for over a decade and Applied Carbon's in-field proposition is incredibly compelling," adds Joshua Posamentier, co-founder and managing partner of Congruent Ventures. "The two most exciting things about this approach are that it profitably swings the agricultural sector from carbon positive to carbon negative and that it can get to world-scale impact, on a meaningful timeline, while saving farmers money."

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This article originally ran on EnergyCapital.

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

WHERE TO BE

From networking meetups to pitch competitions, December is filled with opportunities for Houston innovators. Here's a roundup of events you won't want to miss out on so mark your calendars and register accordingly.

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


December 3 — Cup of Joey: InnovationMap Awards Finalist Celebration

Meet the finalists of the Innovation Awards and network with like-minded, curious individuals over strong coffee.

This event is Tuesday, December 3, from 8:30 to 10:30 a.m. at 820 Gessner Rd. Click here to register.

December 3 — Antwerp-Houston Innovation Mission: Cleantech Pitching Event

Pitch your cleantech solution to members of both the Antwerp and Houston ecosystem. This cleantech pitch competition will feature networking with industry leaders, investors, and like-minded individuals passionate about sustainability. Witness groundbreaking ideas, support the future of cleantech, and take advantage of a unique opportunity to pitch to the Port Of Antwerp-Bruges, Bluechem, StartUp Flanders and more.

This event is Tuesday, December 3, from 2 to 5 p.m. at the Ion. Click here to register.

December 4-5 — Energy LIVE 2024

A full-spectrum energy exhibition, with 3000+ decision-maker attendees and 100 booths - the first meeting point for North America's clean energy ecosystem post-U.S. election, where attendees will seize emerging opportunities for sustainable profit. The Energy LIVE Expo will connect the three concurrent strategic conferences to laser focus on facilitating the next generation of net-zero partnerships.

This event begins Wednesday, December 4, at NRG Park. Click here to register.

December 5 — Holiday Block Party at the Ion

Join the Rice Alliance team for a holiday block party at the Ion featuring familiar faces and a healthy dose of Houston’s entrepreneurial energy. This is a celebration where you can catch up with old friends, meet new ones and soak in the holiday spirit. In the spirit of giving, Operation Love is hosting a toy drive at the event. Bring a toy to donate, and wrap it up at the gift-wrapping station.

This event is Thursday, December 5, from 4 to 7 pm at the Ion. Click here to register.

December 5 — SouthWest-Midwest National Pediatric Device Innovation Consortium

This annual event brings together members, colleagues, and guests of our FDA-supported consortium, dedicated to assisting pediatric device innovators throughout the entire lifecycle in delivering innovative solutions to pediatric patients. Angela Lorts, MD, MBA, of ACTION Network and Cincinnati Children’s Hospital will deliver a keynote address followed by a panel discussion on clinical trials/ evidence generation for pediatric devices and real-world evidence case studies.

This event is Thursday, December 5, from 4 to 7:30 pm at Texas A&M EnMed Tower. Click here to register.

December 6 — Inaugural Houston Methodist Neal Cancer Center GI Oncology Symposium

In this session, attendees will explore the latest advancements in surgical techniques for early-stage hepatobiliary cancer. The presentations will cover innovative operative approaches that enhance surgical outcomes and improve patient recovery. Expert surgeons will discuss their experiences with new technologies and methods, including minimally invasive procedures and enhanced imaging techniques.

This event is Friday, December 6, from 8:30 a.m. to 3:15 p.m at Houston Methodist Research Institute. Click here to register.

December 9 — Pumps & Pipes Annual Event 2024

The Pumps & Pipes Annual Event is an innovation gathering bringing together cross-industry leaders in Aerospace, Energy, and Medicine for engaging discussions and top tier networking opportunities. There will be three hour-long sessions ranging from space to medical technologies. The "Skybound Synergies: State of Texas Aerospace Investments & Their Ripple Effect" panel will spotlight Texas’ critical role in shaping the future of aerospace, with a focus on its cross-sector impact, from space exploration to innovation in energy & healthcare. Speakers include: Norman Garza, Jr., Executive Director of the Texas Space Commission (TSC); as well as two members of the TSC board of directors: Sarah “Sassie” Duggelby, CEO/Co-Founder of Venus Aerospace; & Kathryn Lueders, GM at Starbase, SpaceX.

In the "Innovating the Impossible: Real-World Applications of Robotics & Synthetic Bio" speakers will explore the groundbreaking intersection of synthetic biology and robotics as they reshape industries from aerospace to energy to healthcare. In "The Total Artificial Heart: Past, Present, & Future; a Uniquely Houston Story" Dr. Billy Cohn, will discuss the groundbreaking BiVACOR TAH, a device that fully replaces the function of the heart using a magnetically levitated rotary pump. This innovative approach is part of an FDA-approved first-in-human study, aiming to evaluate its use as a bridge-to-transplant for patients awaiting heart transplants.

This event is Monday, December 9, from 8 a.m. to 3 p.m. at Texas Medical Center Helix Park. Click here to register.

December 9 — The $2 Million to $22 Million ARR Playbook

Join Next Stage Trajectory at The Cannon West Houston and learn from leaders who have navigated the path from promising startup to established industry player. This panel brings together three accomplished founders who have successfully scaled their companies from $2 million to over $20 million in annual recurring revenue within a short time period. Expert speakers will share insights, strategies, and hard-won lessons from their journeys.

This event is Monday, December 9, from 3:30 to 5 p.m. at the Cannon. Click here to register.

December 11 — Jingle Mingle and the Houston Tech & Energytech Extravaganza

Celebrate the season with Houston’s tech, energy transition, and life science startup communities. Enjoy music, holiday lights, an ugly sweater competition, and maybe even a visit from Startup Santa. Network with fellow builders in the Houston energy transition and foster meaningful connections and collaborations.

This event is Wednesday, December 11, from 5 to 9 pm at 401 Franklin St. Click here to register.

December 12 — Houston Region Economic Outlook

The Greater Houston Partnership’s Chief Economist Patrick Jankowski will present the organization’s Houston economic forecast for 2025, discussing the regional employment outlook for the year ahead and the overall regional and national economic outlook. This year’s event is particularly significant as it marks Jankowski’s final forecast presentation before his well-earned retirement after a 41-year career with the Partnership.

The Partnership’s Houston Region Economic Outlook event will also feature a panel discussion with experts discussing their insights on their respective industries, including commercial real estate and energy, moderated by Dan Bellow, President of JLL. Panelists include Stan Chapman, Executive Vice President & COO, Natural Gas Pipelines, TC Energy; Mary Beth Gracy, Houston Office Managing Director, Accenture.

This event is Thursday, December 12, from 11 a.m. to 1:30 p.m. at the Royal Sonesta. Click here to register.

December 13 — 2024 Women In Agriculture Conference

Urban Harvest will host its third annual Women in Agriculture Conference, bringing together urban gardeners, farmers, entrepreneurs, and plant enthusiasts from across Texas to celebrate, educate, and uplift the work of women shaping the agricultural landscape. The conference features expert panels, networking opportunities, food, and prizes, and will offer a platform to share resources and knowledge for sustainable agriculture practices.

This event is Friday, December 13, from 8:30 a.m. to 3:30 p.m. at Houston Community College - West Houston Institute Campus. Click here to register.

Houston health startup launches tool to revolutionize kidney care, reduce costs

here to help

Chronic Kidney Disease is expensive and common. In fact, 37 million Americans live with the condition. The winner of this year’s Houston Innovation Award for best female-founded business, Koda Health, recognized the need for help among CKD sufferers and has answered the call.

Last week, Koda Health announced the addition of Kidney Action Planning to its suite of services for patients with serious illnesses.

"Kidney Action Planning is designed to fill a significant void in CKD management," Tatiana Fofanova, CEO of Koda Health, says in a statement. "Some studies indicate greater than 70 percent of patients start dialysis in the ER suboptimally, potentially navigating a life-or-death scenario. This is both frightening and largely avoidable with an intervention like Kidney Action Planning, which helps patients better understand CKD.”

Nearly one in four Medicare dollars is spent on kidney care. That’s roughly $130 billion each year. How does KAP help?

The solution uses technology to support CKD patients from the moment of diagnosis. By using KAP, patients are educated about their condition, which empowers them to make their own decisions about treatment as the disease progresses.

Using targeted patient outreach, KAP aids healthcare workers in identifying patients who require assistance with care planning. It then matches them with the best fit for solutions. The company’s interactive, gamified digital tools teach and guide users through making care plans using their own personal values. But KAP doesn’t exist entirely on a device. For higher risk cases, patients can connect with KodaCares Patient Advocates, who provide the 1:1 assistance that only a human can.

A major goal of KAP is to minimize unplanned and inappropriate treatments, dramatically minimizing the cost to patients.

“With an unplanned dialysis start estimated to cost about $95,000 per patient compared to $25,000 per planned start – our new tool enables healthcare organizations to allocate the resources necessary to deliver proactive decision-making and disease education. We believe Kidney Action Planning has the potential to transform chronic kidney care for patients and the organizations that serve them," says Fofanova.

Koda Health launched its original software platform, Advance Care Planning, in 2021. It’s now used by 700,000 patients around the country to help make their medical wishes a reality, with the help of industry leaders such as Cigna, Privia and Houston Methodist. For patients with CKD and end-stage kidney disease, the new technology could make a substantial difference in the quality and cost of their care.