Jamie Serio, CFA

Cost-effective geothermal energy has the ability to fully transition and decarbonize our grids and industrial systems - in the near term! We believe the team and technology at XGS Energy will realize this vision and we couldn't be happier to be working with them on a geothermal-powered reality.

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🧬 This week's Austin Bio + Health Roundup has acquisitions, funding, leader’s insights on national healthcare news, critical new infrastructure, and developments from across the Texas Bio Triangle. 🧬 🤝 M&A and Partnerships Subjectwell, a patient access marketplace connecting patients to clinical trials and treatments, was acquired by Windrose Health Investors.  This acquisition will also provide Subjectwell with additional capital for its next growth phase. 💰 Funding Thoughtful Automation, an AI company specializing in revenue-cycle management tools for healthcare providers, has announced its move to Austin and has secured $12.5M in funding. Congrats and welcome to Central Texas! 💡 Insights from Local Builders and Innovators Michelle Davey, Founder and CEO of Wheel, provided her commentary to FierceHealthcare on the recent exits from the virtual care market by major players Walmart and Optum. Michelle said, “It's not just about being big—it's about the platform that drives the care delivery itself - and how it's purpose-built to scale to mass adoption and repeat utilization." 🏗️ Infrastructure Dell Med is launching a Center for Rare Diseases, focusing on cutting-edge research and therapies. This initiative will support advances in diagnostics and boost awareness, providing critical assistance for patients and families dealing with rare conditions. 🚀 Launches, Expansions, and Milestones The co-founder of artist collaborative Meow Wolf is leaving to launch a new $15M wellness and spa experience in Austin. They are branding it as the “world’s first neuroscience-enabled spa,” bringing a new element to the Austin’s strength at the convergence of bio, health, and tech. 🚩 Texas Bio Triangle First Bight Ventures’ industrial biology accelerator, BioWell, is now seeking its first cohort of 10 companies, with applications due by May 15. The STRONG STAR Consortium has secured $17 million in DoD funding to address brain injuries, PTSD, and related conditions, which will launch 8 programs spanning detection, prevention, and treatment. As always, the news is as varied and dynamic as our region, let’s keep it up! What’s Next? #AustinNext #LifeSciences #Healthcare #Biotechnology

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🧬 This week's Austin Bio + Health Roundup highlights significant data trends, my stance on covering funding announcements, new partnerships, and action across the Texas Bio Triangle. 🧬 💰 Funding: The Way I Plan to Cover Funding Announcements You may have seen reports of a local Bio & Health startup’s funding round through an SEC report filing. While some outlets have covered this, my position is not to. I prefer to support our builders directly rather than trolling the filings for scoops. There is plenty of real investigative journalism that our city would be well served by if that is where they focused. Remember I am not a journalist and I am not the media. When the company is ready to announce their round officially, I’ll gladly shout it to the rooftops. 📊 Data Peter Walker at Carta reports that in 2017, Biopharma and Medical Devices captured just under 10% of all VC dollars. By 2023, this figure rose to 17.7%, and in Q1 2024, it reached 24%. The overarching tailwinds favor our sector and region with trends towards Bio & Health and the physical & digital intersection. Energy and hardware, two other sector blossoming in Central Texas, also saw similar share gains. 🤝 M&A and Partnerships Sensi.AI, a 24/7 senior care intelligence agent, is partnering with Caring Senior Service to deploy SensiAI’s platform in Caring’s 50 locations across the US. This partnership allows seniors a better opportunity to age gracefully in their homes. 🚩 Texas Bio Triangle BioMedSA is hosting an event called Women in Bioscience, Thursday June 20th. It’s designed to connect and empower women in the bioscience industry across Central Texas, and features Randi Brosterman Hutchens discussing "Building your Personal Board." Find the link to the event in the comments. Houston-based Lokum, a staffing solution to connect clinicians and clinical staff to health care facilities, has raised a $700K pre-seed round. Congrats Ayoade (Joy) Ademuyewo on the raise. What’s Next? #AustinNext #LifeSciences #Healthcare #Biotechnology

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Our newest First Funders episode is up! Meet Rajiv Bala, GP of Clutch VC, a pre-seed and seed-stage exclusively investing in Texas. Rajiv is committed and bullish on the region with a hands-on approach to investing, working with founders on product feedback, team building, and more to see initial customer validation before investing. Rajiv also embraces sub $500 million outcomes to drive fund multiples rather than relying on Unicorn outcomes only. This episode pushed Aamir Virani and me to think differently about what we know and practice here in Silicon Valley, reminding us that there is more than one way to achieve Alpha. Highlights from our discussion: - Starting startups, Texas style: Is it about 24/7 work-life or work-life balance? We discussed a Texas vs. Silicon Valley approach to company building. Can it work and drive outsized venture outcomes? - Beyond chasing unicorns: Can you be successful with sub $500M outcomes in VC? We dug into how portfolio construction starts with fund size and what scale of outcomes matters to you. - Does previous founder or operator experience make you a better investor? Rajiv believes it builds founder empathy, skills, and experiences that make you more effective in challenging moments. - Selective incubation as a strategy: Rajiv will sometimes work with a team for 6 to 12 months before investing to gain information asymmetry, build conviction (or incertitude), and establish a genuine relationship ahead of the check. #startups #texas #austin #pre-seed #seed #vc

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How does Austin look when comparing share of VC dollars across stages? The short answer: Pretty consistent with our overall position. The long answer: A surprise or two. No shock that the Bay Area dominates from Seed to Series C, capturing between 30% and 45% of market share. Austin ranks between 5th and 7th place, holding a 3% to 4% share across each stage, matching our overall position of 5th or 6th depending on the dataset. Notably, Austin's highest rank is at the Series C stage, which I wasn’t expecting. My guess is this is less about a surge in Austin’s late-stage investments and more about Seattle’s drop-off at this stage. Here’s how venture dollars in Austin are distributed by stage: Seed: 12% Series A: 32% Series B: 33% Series C: 23% For comparison, the Bay Area's distribution is: Seed: 12% Series A: 26% Series B: 32% Series C: 30% Given the size of the rounds, it's logical that later stages command a larger share of total capital. To ascend to the next tier, Austin needs more companies to have both the demand for late stage funding and be able to secure it. 🙏 A big thanks to Peter Walker and Carta for continually providing such insightful data. What’s Next?

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At Pearl IO we’re redefining how #privateequity uses data to make smarter, faster investment and operational decisions. Benefits span the complete deal lifecycle including sourcing, diligence, monitoring & reporting. Let's connect to discuss how your team can benefit. 🚀 Enhanced Insights – Dive deep into target company performance with advanced analytics. Quickly extract actionable insights and identify key value creation opportunities. 🎯 Strategic Prioritization – Gain early and accurate insights to secure the right deals. Minimize the risk and cost of misallocated efforts with our AI-driven analytics. 💡 Resource Efficiency – Say goodbye to unnecessary expenses and time loss on non-viable deals. Our technology identifies early exit points, saving you valuable resources. 🔄 Streamlined Processes – Eliminate the need to recreate analyses for each deal. Our robust templates and tools ensure consistency and speed, enhancing your team's productivity and output. #pe #diligence #duediligence #analytics #ai

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Last week, mid-market companies were trading hands faster than picks at the NFL draft. 10 notable MM PE deals from the past week: ➡️ Incline Equity Partners invested in VMG Health, a TX-based compliance, strategy, and transaction advisory firm serving the healthcare industry. ➡️ Serent Capital acquired Medical Informatics Engineering, Inc., a provider of healthcare IT software for the occupational health market. ➡️ Celebrity Coaches, LLC, a TN-based portfolio company of Allied Industrial Partners, acquired Moonstruck Leasing, an entertainment coach leasing company. ➡️ Granite Creek Capital Partners, L.L.C. in partnership with Boathouse Capital, invested in DCG, a full-service strategic comms firm serving federal government clients. ➡️ Apax Digital invested in IANS, a MA-based provider of research and advisory services for the infosec market. ➡️ The Stephens Group, LLC partnered with VisionSafe Corporation - EVAS, a HI-based provider of aircraft cockpit smoke displacement systems. ➡️ Gamut Capital Management is set to acquire DEX Imaging, a provider of managed print services across industries. ➡️ Century Park Capital Partners acquired Total Access Elevator, a CA-based provider of commercial elevator modernization, maintenance, and repair services. ➡️  Shoreline Equity Partners invested in Prime Meats LLC, a GA-based processor and distributor of proteins. ➡️ Family office CC Industries acquires Foremark Performance Chemicals, a producer of formaldehyde and derivatives for the petrochemicals industries. #PrivateEquity #MergersandAcquisitions #Acquisitions #PE #Acquisitions

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Calling all #Founders: Venture Capital Association of Alberta (VCAA)’s Deal Flow Calls represent a great opportunity for #PreSeed to #SeriesA companies to gain exposure to some of the countries most active Venture Capital #investors. If your company is raising equity capital, I strongly encourage you to check out the link below!

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For some insight into what I look for in companies, check out Good Revenue's recent podcast!

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Per PitchBook, PE managers' returns to LPs are still in decline. The data speaks for itself. Clearly the past few years have seen a significant decline in realizations. However, one of the biggest mistakes continually made in investing is to take recent data and simply extrapolate it into the future. The article makes the statement: "The decline is a sign that PE realizations have yet to bottom out, as GPs navigate unfavorable market conditions for exiting their often long-held investments." I wouldn't be so sure. The data might actually be pointing out that the decline has bottomed out - and we simply have not yet recognized it. The investing markets are a pendulum, constantly swinging back and forth between wide open capital markets and markets closed tight. We have been in a closed market for some time now. Don't be too surprised if what we are experiencing now is the early innings to a thaw. Only time will tell... Endeavor Colorado #privateequity #venturecapital #innovation #entrepreneurship #founders #startups #investing https://lnkd.in/gCCWN9_D

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As lenders to late and growth-stage companies, we're often asked: “What exactly do you look for in potential borrowers?" In my 30 years of experience working in the venture ecosystem, I’ve seen what qualifies some businesses to get the financing they need. Here is what we typically look for: ✔ Proven Business Model: Those with validated product-market fit, recurring revenue streams, and predictable cash flow are typically less risky and more likely to succeed in repaying their debt obligations. ✔ Stable and Diverse Customer Base: Borrowers with a stable and diverse customer base demonstrate a reduction in concentration risk and lower dependency on a single revenue source. ✔ Strong Management Team: At Runway, we look for entrepreneurs with a track record of success, industry expertise, and a clear ability to execute a business plan. A strong management team signals confidence to the lender that the business will be able to navigate challenges and drive business growth. ✔ Capital Efficiency: Startups that have effectively managed their capital resources, are clear on how the funding will be used, have minimized burn rate, and achieved meaningful milestones are strong candidates to utilize debt financing. ✔ Equity Backing: Previous equity financing by an established VC can provide additional validation of a company’s business model, market opportunity, and growth prospects. ✔ Exit Strategy: Those with a clear path to profitability and viable exit (such as through an initial public offering or strategic acquisition) provide assurance that the debt will be repaid in a timely manner. If you’re thinking about how to grow your business, and exploring debt as an option, keep this in mind!

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JPM positioning Summary: Similar to what happened on Thurs, Apr 4, the decline on Wed post CPI didn’t seem to rattle that many investors. HF net flows in N. Am. were skewed towards small buying (+0.4z) on the day, gross was added as Momentum rebounded (and after 2z de-grossing on Tues), and retail investors bought the dip again. There was some selling via ETFs and futures, so it wasn’t all positive, but it seems that an underlying buy-the-dip mentality was still prevalent. https://lnkd.in/gtptTxuw

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To all #founders and #entrepreneurs out there, our intro meetings are conversational and easy going. Feel free to message me to setup a call. Learn what Pioneera Ventures can do for you!

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🚀 New Episode Alert: Investor Connect with Gary Forni, Chairman of CTAN 🚀 Join host Hall T. Martin for an insightful conversation with Gary Forni, the visionary Chairman of the Central Texas Angel Network (CTAN). With a storied career in technology and venture capital, Gary has been instrumental in shaping the startup ecosystem in Central Texas. 📅 Listen now: https://ow.ly/Po6Q50RBUJt 🔹 What to Expect: Gary's journey from Intel Corp to leading one of the most active angel groups in the U.S. An inside look at CTAN's investment strategy and how they're nurturing the next wave of disruptive tech startups. Expert advice on overcoming challenges in angel investing and adapting to economic changes. 📈 Under Gary's leadership, CTAN has invested over $129 million in 215 companies, driving innovation and economic growth. Learn how this network supports entrepreneurs with capital, mentoring, and more. 🎧 Tune in to "Investor Connect" for more expert insights into the investment landscape. Don’t miss it! #InvestorConnect #AngelInvesting #Startups #Innovation

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Had a great time chatting with Jesse Shatsky from the Superblocks team last week about how we've been able to use Superblocks to improve our sourcing and diligence workflows. When I first started at Felicis, I quickly discovered that our teams would greatly benefit from custom internal tools that pulled together the disparate data that Felicis relies on. However, I had little experience building frontends and little time to learn. Superblocks proved to be a great tool for our use case. It had several straightforward data integrations, and I could easily build a comprehensive, interactive UI without writing any frontend code. The Superblocks data interfaces I’ve built have become a major cornerstone of our research operations. They allow us to visualize data in a way that was previously impossible with our existing tools. These tools have already improved my processes by 10x, and I’m excited about the benefits Superblocks can bring to the other teams at Felicis as we continue to build out use cases in the platform.

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In a new essay today, Omar El-Ayat and I shared the Euclid Ventures vSaaS Index to unpack why the public markets love vertical software. Check out the full analysis and join us at the Euclid Ventures Substack for more. "The Euclid Index we’re sharing today includes 36 leading industry-specific public software companies, alongside 60 horizontal SaaS players for comparison. We’ll update it from time to time and unpack a vertical SaaS insight top-of-mind to our investment team. Today, we will use the Index to answer a question at heart of the business model. Public Vertical SaaS companies trade at nearly double the EV / GP multiples of their horizontal peers—11x vs. 5x, on the median. Amongst profitable companies, vertical EBITDA multiples also lead by >30%. Why does the market pay more for a dollar of vertical software profit?"

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What makes a good Venture Capital Associate? Notes from my catching up with my mentor Derren Burrell of Veteran Ventures Capital today 1) Be willingly to "eat the frog" which means doing all of those adhoc but necessary task to keep a evergreen fund operator (the task Partners dread doing as well) such as: - Financial reporting - Trial balances and fund management - Investor relations and LP reporting - Compliance based task 2) Networking "The Best deal flow comes from other VC firms" 3) Investor relations and attractive new partners to the firm 4) Platform operations and improving portfolio companies. Rinse and repeat #veteran #vc #venturecapital #startups #fundoperations

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Huge announcement coming from the PitchBook Analyst Team as they just released their Q4 2023 PitchBook Private Capital Indexes! This report provides complementary industry return estimates, private market comparisons to public indexes, and volatility and correlation measures for portfolio construction modeling. Some key highlights include: -Returns have been positive throughout 2023 across most fund classes, with the exception of VC (which is -23.3% from its 2021 peak) and real estate which has faced headwinds stemming from higher rates (down -2.5% from peak). -Private debt and real assets strategies have led with +11.5% and +12.0% returns in 2023 -Slow-to-adjust valuations in private markets make volatility estimates on reported performance understated; we provide adjusted measures for better comparison with public markets. -We include key subtypes across the core fund classes, including direct lending, natural resources, buyout, opportunistic real estate, and more.

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