Tech-enabled manufacturing startup based in Houston secures $42M in growth financing

show me the money

MacroFab has secured fresh investment to the tune of $42 million. Photo via macrofab.com

A Houston company has nearly doubled its total raised with its latest funding round.

MacroFab, a Houston-based electronics manufacturing platform, has announced $42 million in new growth capital led by Foundry and joined by BMW i Ventures, as well as existing investors Edison Partners and ATX Venture Partners. The platform was first launched by Misha Govshteyn and Chris Church in 2015.

“Given MacroFab’s compelling solutions to electronics manufacturing challenges and Foundry’s successful history with parallel companies, our investment is a perfect fit," Foundry Partner Seth Levine says in a news release. "This is a unique opportunity to be part of next generation cloud manufacturing and we’re excited to be joining forces with Misha and his team."

MacroFab built a platform that manage electronics manufacturing and enables real-time supply chain and inventory data. The platform can help customers go from prototype to high-scale production with its network of more than 100 factories across the continent.

“Electronics manufacturing is moving toward resilience and flexibility to reduce supply chain disruptions. These are long term trends recognized by Foundry and BMW i Ventures, who joined this round as investors,” says Govshteyn, MacroFab’s CEO, in a news release. “We are in the earliest stages of repositioning the supply chain to be more localized and focused on what matters to customers most — the ability to deliver products on time, meet changing requirements, and achieve a more sustainable ecological footprint. MacroFab is fundamental to building this new operating model.”

The company has seen significant growth amid the evolution of global supply chain that's taken place over the past few years. According to the company, shipments were up 275 percent year-over-year. To keep up with growth, MacroFab doubled its workforce, per the release, and opened a new facility in Mexico.

“Most companies have felt the pain of inflexible and fragile supply chains," says Daniel Herscovici, partner at Edison Partners, a growth equity firm focused on technology-enabled and SaaS solutions. "MacroFab’s cloud manufacturing platform is transforming contract manufacturing, enabling ‘Made in North America, faster design iteration, and increased supply chain resiliency, among its benefits. Edison Partners shares the company’s vision for addressing this more than $100 billion global market."

Misha Govshteyn, CEO of MacroFab Misha Govshteyn is the founder and CEO of MacroFab. Photo courtesy of MacroFab

The immersive new exhibit will now open next year. Image courtesy of Houston Zoo

Houston Zoo delays new, immersive island exhibit due to supply chain issues

journey delayed

Houstonians eager to meet sea lions, giant tortoises, sharks, and Humboldt penguins at the Houston Zoo will have to wait a bit longer, the zoo announced.

Galápagos Islands, the highly immersive Houston Zoo experience showcasing one of the most pristine, ecologically rich areas in the world, will not open until early 2023.

The Galápagos exhibit is part of the zoo’s 100th anniversary celebration and was slated to open fall of this year. Zoo officials cite supply chain issues for key construction materials — such as acrylic viewing panels for the state-of-the-art sea lion habitat — as the reason for the delay.

This planned exhibit is the first of its kind to showcase the wildlife of the legendary island chain that Charles Darwin studied and made famous.Guests can dive into an environment evoking the archipelago’s unique landscapes and oceanic habitats — all meant to inspire intrigue and preservation.

One major draw should be the Galápagos penguins, which are threatened by overfishing, ocean pollution, and climate change and are highly protected by the Ecuadorian government. It is the most threatened penguin species in the world, the zoo notes, with an estimated population of less than 2,000 individuals.

The Galápagos is often heralded as the planet’s ultimate area spotlighting unique species, the delicate balance of ecosystems, and the pressing need for conservation action, the zoo notes.

“We’re disappointed that the project has been delayed, but we know we’re not alone in experiencing supply chain problems,” said Houston Zoo president and CEO Lee Ehmke in a statement. “Our commitment to conservation in the Galápagos Islands, our animal residents, and our guests here in Houston remain unwavering. A short delay in our exhibit opening will not deter us from our mission of connecting communities to animals, inspiring action to save wildlife.”

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This article originally ran on CultureMap.

Launched in Houston, Umanity's new tool aims to better connect nonprofits with supplies and volunteers amid the COVID-19 crisis. Photos via umanity.io

Philanthropic supply chain tool connects Houstonians with resources during coronavirus crisis

oh the umanity

A Houston startup that has been working in a pilot program capacity with the city of Houston has accelerated the rollout of its platform to help connect and coordinate people's needs to resources in real-time during the coronavirus outbreak.

Umanity, which is a part of the Ion Smart and Resilient Cities Accelerator's first cohort, has created a philanthropic supply chain tool that's now available as an app or through desktop. The software can match and map local individual or nonprofit needs to organizations or volunteers, plus provide real-time analytics. During the coronavirus outbreak, they have mobilized its resources connecting supplies with nonprofits and volunteers with safe ways to help organizations that need it most during this crisis.

The Ion Smart and Resilient Cities Accelerator launched in 2019 to provide technology-driven solutions to Houston's most prevalent challenges. The accelerator is backed by Intel and Microsoft and partnered with the city of Houston and Station Houston.

"Our first cohort focused on transportation, resiliency, and connectivity," says senior director of the Ion Smart Cities Accelerator, Christine Galib. "It was tightening much of the ways in which a vast and expansive city like Houston can come together and feel connected and supported as a city."

These themes are exemplified by Umanity, who is working with several city of Houston officials to direct citizens the resources they need during the crisis, and creating a network of communities to efficiently provide them the resources they need. The centralized platform shows a complete picture of who needs help and who can help all on the same platform while measuring the real-time economic impact of donations and every volunteer hour.

"I started this company because I wanted to transition everyday acts of service into actual data-driven solutions," says Ryan-Alexander Thomas, CEO and founder of Umanity. "My goal is that during the next crisis, for example, hurricane season, if somebody needs something they have access to get it when they need it, not two years later or after the crisis."

The platform has already rolled out in other cities such as Hyattsville, Maryland, to help connect their network of nonprofits with individuals as part of their crisis response as a result of supply shortages due to the coronavirus pandemic.

With the help of their accelerator, Umanity is currently working with a number of the city of Houston's mayor's directors, including education and health leaders to create a broader coalition designed to collaborate and coordinate more efficiently by aggregating information from these sources.

"Having some of the mentors in the accelerator put us in touch with decision-makers in the city has really given us the boost we need to get a chance to show that we can do something good for the people and the community," says Thomas.

Thomas says Umanity is ready to be implemented in a dozen cities in the next few months. Their team is already close to signing partnerships with additional municipalities across the country.

"Our platform is available right now for download and we're growing," says Thomas. "We've tripled the number of organizations in the past week and we are always looking for new nonprofits, churches, and organizations to partner with to help those in need."

Coronavirus likely will affect your supply chain — here's what to keep in mind. Getty Images

Houston expert: Here are 3 tips for a resilient supply chain during the coronavirus outbreak

Guest column

Consumers rarely consider the intricacies of managing a cohesive supply chain when the process needed to deliver product to market is free of disruptors. In short, engineering and design work is completed, a bill of materials is established, material is sourced, and product is manufactured.

Manufacturers often expect to easily purchase product off the shelves or online. When external factors come into play that have the potential to disrupt supply chains and the quick availability of product, proper management is even more critical for businesses and their customers.

During my 23 years at Smith, the world's largest open-market distributor of electronic components, I've witnessed various market disruptions and shifting supply chain dynamics. I can confidently say that the coronavirus outbreak is heavily uncharted territory for the technology industry. Mitigating supply chain disruptions during troubling times, however, is familiar to us. Even through uncertainty, I want companies to know that there are many options to keep their supply chains active.

Here are my top three tips for properly managing your supply chain during the coronavirus outbreak:

Assess inventory levels and run outages scenarios

It is important to not only assess your on-hand inventory levels but to quickly gauge the impact and availability of product from key suppliers. As a precaution and to prevent further spread of the virus, many electronic component manufacturing plants in China were shut down for weeks, and some are still running at limited capacity with prominent labor shortages.

Finding out which manufacturers have been shut down or are affected by the virus will help determine lead times and availability requirements. Surveying suppliers is an efficient way to gauge manufacturers' levels of impact and determine your own needs. Bear in mind what possible logistics delays you may encounter when assessing your material levels.

Build contingency plans with alternative sources.

With supply constraints from traditional sources being almost an inevitability, having flexible sourcing options and relationships with key suppliers is a prime strategy for contingency planning.

On top of that, make sure your sourcing partner has put stringent quality procedures in place and is certified to the highest industry standards. Expanding your AVL (approved vendor list) and qualifying other manufacturers will help keep lines running according to forecast.

Ensuring heightened supplier screenings with end-to-end evaluation transparency is even more essential during times of disruption. Trusted, multichannel sourcing capabilities are prime options in the face of the consistently evolving global situation.

Stay vigilant, and work closely with your emergency response team.

Uncertainty will continue to play a major role throughout the outbreak situation. From my experience, staying up to date with the latest news and maintaining frequent communication with both internal and external parties is one of the most proactive approaches to disruptive situations.

Smith's shipping and logistics hubs have mirrored capabilities and are located in Houston, Hong Kong, and Amsterdam, so we have been able to keep our operations running throughout the outbreak. Although Smith's business operations have continued without any shutdowns, the electronics supply chain has been significantly impacted, and disruptions will be felt for some time. The effects of the coronavirus are expected to trickle down to end consumers, as new product introductions for some consumer electronics have been delayed. Reports are even indicating that the supply and availability of technology products during the peak holiday season may be disrupted.

With the millions of components that go into everything from consumer electronics to oil and gas and medical equipment, our industry could see notable shortages in supply throughout the year. I encourage all companies and especially our friends here in Houston to thoroughly evaluate their supply chains. Utilizing these tips to implement a resilient supply chain will help build a strategic business outlook.

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Todd Burke is president at Houston-based Smith and Associates.

GoExpedi's innovative platform makes it easier for oil and gas companies to find important parts and tools. Getty Images

Houston oil and gas startup closes $25M series B round

Money moves

Following its most recent funding round, a Houston e-commerce startup specializing in the oil and gas industry has big plans for growth.

GoExpedi has closed its $25 million series B funding round that was San Francisco-based Top Tier Capital Partners, with Houston-based Blue Bear Capital, Houston-based CSL Ventures, San Francisco-based Crosslink Capital, New York-based Bowery Capital, and other investors contributing too.

Founded in 2017, the e-commerce, supply chain, and analytics company, which closed its $8 million series A in January, is using the funds to up the ante on its growth plans.

"This round of funding allows us to significantly accelerate our geographic expansion across North America as well as globally, further build out our technology platform, and expand our reach from the land drilling market to the offshore, midstream and downstream markets," says Tim Neal, CEO of GoExpedi, in a news release.

"Since announcing our Series A round of financing in January 2019, we have signed several major customers and are expanding to meet their needs across the globe. This also positions us to take on other significant customers as we build out and deliver our unique capabilities as well as a value proposition that is revolutionizing the industry."

The company has over 200,000 parts and supplies on its e-commerce platform for oil and gas companies to have easy access to along with price transparency and supplier choice.

"It is clear that GoExpedi is onto something very unique," says Garth A.L. Timoll, Sr., managing director at Top Tier Capital Partners, in the release. "In our conversations with GoExpedi's customers, they made clear that the significant cost savings, combined with the platform's capability to provide spend transparency, order accuracy and speed, all customized to their workflow processes are providing major benefits to their businesses."

GoExpedi's clients, according to the release, includes over 20 companies with two if the top five drilling contractors in the United States. The platform operates with Amazon-like transparency, optimizing technology to provide tracking and timely delivery.

Photo via goexpedi.com

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Houston students develop cost-effective glove to treat Parkinson's symptoms

smart glove

Two Rice undergraduate engineering students have developed a non-invasive vibrotactile glove that aims to alleviate the symptoms of Parkinson’s disease through therapeutic vibrations.

Emmie Casey and Tomi Kuye developed the project with support from the Oshman Engineering Design Kitchen (OEDK) and guidance from its director, Maria Oden, and Rice lecturer Heather Bisesti, according to a news release from the university.

The team based the design on research from the Peter Tass Lab at Stanford University, which explored how randomized vibratory stimuli delivered to the fingertips could help rewire misfiring neurons in the brain—a key component of Parkinson’s disease.

Clinical trials from Stanford showed that coordinated reset stimulation from the vibrations helped patients regain motor control and reduced abnormal brain activity. The effects lasted even after users removed the vibrotactile gloves.

Casey and Kuye set out to replicate the breakthrough at a lower cost. Their prototype replaced the expensive motors used in previous designs with motors found in smartphones that create similar tiny vibrations. They then embedded the motors into each fingertip of a wireless glove.

“We wanted to take this breakthrough and make it accessible to people who would never be able to afford an expensive medical device,” Casey said in the release. “We set out to design a glove that delivers the same therapeutic vibrations but at a fraction of the cost.”

Rice’s design also targets the root of the neurological disruption and attempts to retrain the brain. An early prototype was given to a family friend who had an early onset of the disease. According to anecdotal data from Rice, after six months of regularly using the gloves, the user was able to walk unaided.

“We’re not claiming it’s a cure,” Kuye said in the release. “But if it can give people just a little more control, a little more freedom, that’s life-changing.”

Casey and Kuye are working to develop a commercial version of the glove priced at $250. They are taking preorders and hope to release 500 pairs of gloves this fall. They've also published an open-source instruction manual online for others who want to try to build their own glove at home. They have also formed a nonprofit and plan to use a sliding scale price model to help users manage the cost.

“This project exemplifies what we strive for at the OEDK — empowering students to translate cutting-edge research into real-world solutions,” Oden added in the release. “Emmie and Tomi have shown extraordinary initiative and empathy in developing a device that could bring meaningful relief to people living with Parkinson’s, no matter their resources.”

New Austin tower eclipses Houston landmark as Texas' tallest building

Tallest in Texas

Texas officially has a new tallest tower. The title moves from Houston, for the JPMorgan Chase Tower, to Austin, for Waterline at 98 Red River St. The new tower will contain mixed-use spaces including apartments, offices, a hotel, restaurants, and retail. It is scheduled to open in full in 2026.

Waterline held a "topping out" ceremony in August, when the final beam was added to the top of the tower. It now reaches 74 stories and 1,025 feet — just 23 feet taller than the JPMorgan Chase Tower.

Waterline is now the tallest building in Texas.Graphic courtesy of Lincoln Property Company

According to a press release, hundreds of construction workers and team project members attended the Waterline ceremony, and more than 4,750 people have worked on it since the project broke ground in 2022. An estimated 875 people were working onsite every day at the busiest time for construction.

The Waterline site is on a 3.3-acre campus with lots of views of Waller Creek and Lady Bird Lake. The building contains space for 352 luxury apartments, 700,000 square feet of offices, a hotel called 1 Hotel Austin with 251 rooms, and 24,000 square feet of retail stores and restaurants.

The only space that is open to new tenants already is the office space, with residential soon to follow. The hotel and residential units are expected to open in fall 2026.

A view from above, shot by drone.Photo courtesy of Lincoln Property Company and Kairoi Residential

“Seamlessly integrated with Waller Creek, Waterloo Greenway and the hike-and-bike trail around Lady Bird Lake, Waterline will quickly become a top downtown destination and activity center," said Lincoln executive vice president Seth Johnston in a press release. Project improvements will also make it far easier for people to access all of the public amenities in this area from Rainey Street, the new Austin Convention Center, and the rest of the Central Business District."

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This article originally appeared on CultureMap.com.

Houston company awarded $2.5B NASA contract to support astronaut health and space missions

space health

Houston-based technology and energy solution company KBR has been awarded a $2.5 billion NASA contract to support astronaut health and reduce risks during spaceflight missions.

Under the terms of the Human Health and Performance Contract 2, KBR will provide support services for several programs, including the Human Research Program, International Space Station Program, Commercial Crew Program, Artemis campaign and others. This will include ensuring crew health, safety, and performance; occupational health services and risk mitigation research for future flights.

“This contract reinforces KBR’s leadership in human spaceflight operations and highlights our expertise in supporting NASA’s vision for space exploration,” Mark Kavanaugh, KBR president of defense, intel and space, said in a news release.

The five-year contract will begin Nov. 1 with possible extension option periods that could last through 2035. The total estimated value of the base period plus the optional periods is $3.6 billion, and the majority of the work will be done at NASA’s Johnson Space Center.

“We’re proud to support NASA’s critical work on long-duration space travel, including the Artemis missions, while contributing to solutions that will help humans live and thrive beyond Earth,” Kavanaugh adde in the news release.

Recently, KBR and Axiom Space completed three successful crewed underwater tests of the Axiom Extravehicular Mobility Unit (AxEMU) at NASA's Neutral Buoyancy Laboratory (NBL) at Johnson Space Center. The tests were part of an effort to help both companies work to support NASA's return to the Moon, according to a release.

KBR also landed at No. 3 in a list of Texas businesses on Time and Statista’s new ranking of the country’s best midsize companies.

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