FORTUNE 500 DAY
The Fortune 500 — Fortune’s annual list of the largest U.S. corporations ranked by total revenue — is out today. And here’s a fun fact: Just 500 companies produced enough revenue last year to equal two-thirds of the entire economic output of the United States. These American businesses sold an astounding $13.7 trillion worth of goods and services, a record sum whether you measure it in nominal dollars or adjusted for inflation.
A few interesting facts from this year’s 500:
• Walmart earned the top spot on the Fortune 500 list for the seventh straight year.
• Apple (No. 3) was the 500’s most profitable company for the fifth straight year ($59.5 billion in profits). The company debuted on the list at No. 411 in 1983.
• Amazon.com joined the top five of the Fortune 500 for the first time, with a 31% jump in revenue. And its cloud-software empire helped it notch an annual profit of $10 billion for the first time.
• Elon Musk’s electric-car company, Tesla (No. 144), made one of the biggest leaps on this year’s Fortune 500 — moving up 116 spots.
A BLOCKBUSTER FORTUNE 500 DEAL: Occidental (No. 167 on this year’s Fortune 500) announced it would buy Anadarko (No. 237) for a total price tag of $57 billion including debt. It’s the largest U.S. oil and gas merger in more than 20 years (since Exxon bought Mobil) and would catapult the combined company into the Fortune 100 elite.
My colleague Jen Wieczner delves deep into how Occidental outmaneuvered Chevron to win the deal. From the story:
“On the last Friday in April, Warren Buffett got a call from Brian Moynihan, the CEO of Bank of America, asking if he would back Occidental Petroleum’s underdog bid for rival oil driller Anadarko. Two days later, Occidental CEO Vicki Hollub was making the pitch herself, having flown to Omaha to appeal directly to the world’s most famous investor. It took Buffett only an hour to say yes.
“That Sunday, the Berkshire Hathaway CEO promised $10 billion in financing to Occidental if Hollub could get the deal done. There was, of course, one complicating factor: Anadarko had already pledged to sell itself to oil giant Chevron and would owe the latter $1 billion if it broke their engagement. What followed was a remarkable coup d’état in America’s own oil-soaked Emirate—the famous Permian Basin that stretches 86,000 square miles from Texas to New Mexico—and it all happened in hyperspeed.”
A FORTUNE 500 RECORD: For the first time in Fortune 500 history, 33 companies will be led by female CEOs, which is the highest total ever. The relative barrage of new female CEOs runs counter to last year’s narrative, when the departure of high-profile chief executives—Hewlett Packard Enterprise’s Meg Whitman, Mondelez’s Irene Rosenfeld, Campbell Soup’s Denise Morrison—pushed the count down to 24.
So what could be behind the dramatic one-year reversal? In a word: boards. "We are seeing women and minorities on boards ticking up, and boards have a lot to do with who becomes CEO," Lorraine Hariton, CEO of nonprofit Catalyst, told Fortune’s Claire Zillman. Fifteen years ago, women accounted for 15.7% of board seats in the Fortune 500. Now, it's 25.5%.
• GetYourGuide, a Germany-based online marketplace and internet booking engine for travel experiences, raised $484 million in Series E funding at a valuation of more than $1 billion. SoftBank’s Vision Fund led the round, and was joined by investors including Temasek, Lakestar, Heartcore Capital (formerly Sunstone Capital), and Swisscanto Invest.
• Solera Health, a Phoenix, Ariz.-based health network, raised $42 million in Series C funding. HCSC Ventures led the round.
• Unravel Data, a Palo Alto, Calif.-based operations platform providing full-stack visibility and AI-powered recommendations, raised $35 million in Series C funding round. Point72 Ventures led the round, and was joined by investors including Harmony Partners, Menlo Ventures, GGV Capital and M12 (formerly Microsoft Ventures).
• Karat, a Seattle-based company that conducts technical interviews on behalf of companies, raised $28 million in Series B funding. Tiger Global Management led the round, and was joined by investors including Norwest Venture Partners and 8VC.
• Innowatts, a Houston, Texas-based retail energy technology platform, raised $18.2 million in Series B funding. Energy Impact Partners led the round.
• OpenFin, a New York-based provider of runtime technology solutions for financial desktops, raised $17 million in Series C funding. Wells Fargo led the round, and was joined by investors including Bain Capital Ventures, J.P. Morgan and Pivot Investment Partners.
• Wirepas, a Finland-based software company, raised 14.4 million euros ($16.1 million) in funding. Investors include ETF Partners, Inventure, KPN Ventures and TESI.
• ClickSWITCH, a Minneapolis-based company that automates the switch of direct deposits and recurring payments for financial institutions’ new and existing account holders, raised $13 million in Series B funding. Commerce Ventures and Point72 Ventures led the round.
• BioClarity, a San Diego, Calif.-based skincare brand, raised $13 million in funding. Prolog Ventures led the round.
• CompStak, a New York-based provider of commercial real estate transaction data and analytics, raised $12 million in Series B funding. IA Capital led the round, and was joined by investors including Canaan Partners, RealPage Inc and 500 Startups.
• Sawyer, a New York-based SaaS-enabled marketplace for children's activities, raised $11 million in Series A1 funding. Advance Venture Partners led the round, and was joined by investors including Collaborative Fund, v1.vc, and Notation Capital.
• Better.com, a digital mortgage lender, raised $10 million in add-on funding, bringing the total amount raised in its Series C funding to $95 million. Investors include AGNC Ventures, Goldman Sachs, Citigroup, Ally Financial, Kleiner Perkins, and Pine Brook.
• Novi Labs, an Austin, Texas-based developer of AI-driven unconventional well planning software, raised $7 million in Series A funding. Cottonwood Venture Partners and Bill Wood Ventures led the round.
• ENGAGE Talent, an AI-powered talent data and intelligence platform that provides companies with views of the talent market, raised $3.5 million in funding. Investors include High Alpha Capital, Grand Ventures, Engage Ventures, and Silicon Valley Bank.
• 4Stop, a Germany-based compliance and fraud prevention provider, raised $2.5 million in Series A funding, from Ventech.
• Halla, an AI company focused on personalized recommendations for the food ordering industry, raised $1.4 million in seed funding. E&A Venture Capital led the round, and was joined by investors including SOSV.
HEALTH AND LIFE SCIENCES DEALS
• ArcherDX Inc, a Boulder-based molecular technology company focused on genomic medicine, raised $60 million in Series B funding. Perceptive Advisors led the round, and was joined by investors including PBM Capital, Boulder Ventures, Longwood Fund and Peierls Foundation.
• KNOW Bio LLC, a Durham, N.C.-based life science company, raised funding of an undisclosed amount, from Reedy Creek Investments LLC.
PRIVATE EQUITY DEALS
• KPS Capital Partners agreed to acquire Howden, a U.K.-based manufacturer of air and gas handling equipment, from Colfax Corporation (NYSE: CFX) for $1.80 billion, including $1.66 billion in cash consideration and $0.14 billion in assumed liabilities and minority interest, subject to customary closing adjustments.
• ClearCourse Partnership, which is backed by Aquiline Capital Partners, acquired instaGiv, a U.K.-based provider of mobile and digital fundraising solutions. Financial terms weren't disclosed.
• BHE, a healthcare analytics company, raised $78 million in funding. Investors include Silversmith Capital Partners and Leerink Transformation Partners.
• TodayTix, a New York-based international ticketing platform, raised $73 million in funding. Great Hill Partners led the round.
• The Firmament Group made an investment in Fortbrand Services, a Plainview, N.Y.-based company that sells, leases and rents aircraft ground support equipment and airfield maintenance equipment to commercial airlines, ground handling companies and airports in North America. Financial terms weren't disclosed.
• Kahoot! acquired Poio, an Oslo, Norway-based reading app for children. Financial terms weren't disclosed.
• CrowdStrike Holdings, a Sunnyvale, Calif.-based cloud security software maker, filed for an $100 million in an initial public offering. It posted sales of $250 million the 12 months ended January 31, 2019 and loss of $140 million. Warburg Pincus (30.3%), Accel (20.3%) and Alphabet (11.2%) back the firm. Goldman Sachs, J.P. Morgan, BofA Merrill Lynch and Barclays are lead bookrunners. It plans to list on the Nasdaq under the symbol “CRWD.” Read more.
• Grocery Outlet Holding, an Emeryville, Calif..-based operator of discount grocery stores, filed for a $100 million IPO. The firm posted sales of $2.3 billion in sales for the 12 months ended December 31, 2018 and income of $15.9 million. Hellman & Friedman backs the firm. BofA Merrill Lynch, Morgan Stanley, Deutsche Bank, Jefferies, Barclays, Goldman Sachs, Guggenheim Securities, UBS Investment Bank, and Cowen are joint bookrunners. It plans to list on the Nasdaq as “GO.” Read more.
• Applied Therapeutics, a New York-based Phase 2 biotech focused on diabetic cardiomyopathy, raised $40 million in an IPO of 4 million shares priced at $10, below its $14 to $16 range. Alexandria Venture and E Squared back the firm. It plans to list on the Nasdaq as “APLT.” Read more.
• Vine Resources, a Plano, Texas-based natural gas E&P firm working in the Haynesville Basin of Northwest Louisiana, withdrew its $500 million IPO. Read more.
• Walmart is weighing an IPO of its U.K. Asda arm following a failed merger. Read more.
• American Express will acquire Resy, a New York-based CRM and reservation platform. Financial terms weren't disclosed. Resy had raised approximately $45 million in funding from investors including Airbnb, Union Square Hospitality Group, Lerer Hippeau, and Vayner/RSE.
• Golden Gate Capital agreed to sell ArrMaz, a Mulberry, Fla.-based producer of specialty chemicals for the mining, crop nutrients, and asphalt paving, to Arkema Group for approximately $570 million.
• Advent International agreed to acquire AccentCare, Inc., a Dallas, Texas-based company focused on post-acute healthcare, from Oak Hill Capital Partners. Financial terms weren't disclosed.
FIRMS + FUNDS
• Accel, a Palo Alto, Calif.-based venture capital firm, raised $575 million for its sixth fund focused on Europe and Israel.
• Madrona Venture Group, a Seattle-based venture capital firm, raised $101 million for its acceleration fund, according to a filing with the SEC.
• Periscope Equity promoted Eric Hinkle to principal.
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Polina Marinova produces Term Sheet, and Lucinda Shen compiles the IPO news. Send deal announcements to Polina here and IPO news to Lucinda here.