GREENWICH — Enterprise capital agency Oak HC/FT has introduced its main function in $54 million of funding for Highnote, a San Francisco-based financial-technology agency.
Greenwich-based Oak led the Sequence A funding and co-led the seed funding spherical with one other enterprise capital agency, Costanoa Ventures, whereas a number of different buyers additionally participated.
These funds will assist the expansion of Highnote, which describes itself as the primary card-issuing platform particularly constructed for small and mid-sized firms. The corporate was based by John MacIlwaine, former normal supervisor at Braintree, a PayPal firm, and Kin Kee, Braintree’s former director of structure.
“We perceive the various challenges enterprises presently face in embedding funds capabilities to drive buyer engagement, loyalty and income, in addition to for customers and (small and medium companies) that want entry to wages and funds instantly,” Oak associate Matt Streisfeld mentioned in an announcement. “We see an enormous alternative rising to whomever is ready to crack the code. We’re constructing that at Highnote, and because of this, we’re thrilled to supply the assist they should proceed their unimaginable velocity.”
Based in 2014, Oak manages about $3.3 billion in belongings. The HC/FT is an abbreviation that refers to its deal with early to “growth-stage” firms in well being care and monetary know-how.
It has maintained that technique with the launch of its Fund IV earlier this yr which offered the funding for the Highnote funding.
“As we take into consideration what we need to accomplish with the brand new fund and the areas we put money into, well being care and fintech are about 50 % of the financial system,” Oak co-founder and managing associate Annie Lamont mentioned in an interview earlier this yr.
Oak’s different investments this yr have included main roles in a $98 million funding spherical for e-commerce supplier cart.com and a $100 million infusion in Medicare company Advise Well being Holdings.
Amongst different firms in its portfolio, Oak participated in roughly $120 million in fundraising rounds final yr and in 2019 for the Stamford-based well being care info agency Sema4.
In July, Sema4 accomplished its transformation right into a publicly traded firm and achieved a couple of $3 billion valuation.
Sema4 is the only real Connecticut-headquartered firm by which Oak has an lively funding.
The Oak investor base consists of strategic buyers, fund-of-funds, company and public pension plans, endowments and household workplaces.
Oak is headquartered within the Pickwick Plaza workplace advanced in downtown Greenwich and likewise maintains workplaces in Boston and San Francisco. There are 33 folks on the Oak staff, with 21 of them based mostly in Greenwich.
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