Divvy Homes raises $110 million in round led by Tiger Global

  • Divvy Homes, a rent-to-own startup, raised a $110 million Series C equity round.
  • The round was led by hedge fund titan Tiger Global Management.
  • CEO Adena Hefets said demand for single-family properties has led more buyers to seek alternative paths to homeownership.
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Rent-to-own startup Divvy Homes announced that it has raised a $110 million Series C equity round. 

The round was led by hedge fund-turned-venture-capital-investment firm Tiger Global Management, with participation from GGV Capital, Moore Specialty Credit, JAWS Ventures, and existing investors. When added to significant prior fundraising, (including from Lennar, one of the largest homebuilders in the country), it brings total equity and debt funds raised to more than $500 million.

Divvy Homes purchases homes on behalf of their customers, who then rent them back from Divvy for three years. During that period of time, one-quarter of their monthly rents goes towards an equity stake in the home. After three years, renters can choose to purchase the homes outright from the company — at a predetermined price and with down payments reduced by a portion of the rent paid — or they can move out and get back the equity they put

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Marxent raises $15 million to expand an enterprise 3D home design platform

The technology required to digitally recreate and furnish real rooms in 3D is considerably more complicated under the hood than it appears to end users, and it’s even trickier to import an enterprise’s real world objects — furniture, flooring, wallpaper, and the like —  so customers can preview and buy them. Having developed a robust commerce platform, 3D Cloud, that enables enterprises to digitize and sell everything from individual furnishings to fully designed rooms, Marxent announced that it will expand its service following an investment from Connectwise founder Arnie Bellini, who will also join the Florida-based company’s board.

“With the base business operating as a going concern, this $15 million series C puts us in a position to attack targeted growth initiatives,” Marxent CEO and cofounder Beck Besecker told VentureBeat today. “One of the most important in our minds is to connect the design, visualization, and purchase experience to the rest of the customer journey. For instance, Pinterest is now the place customers start a project by getting inspired. A great solution should allow shoppers to design with what inspired them. Our proprietary ‘design from photo’ [feature] makes that consumer journey possible.”

Marxent’s expansion is significant for technical decision makers

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Amid Home Improvement Surge, Jobber Raises $60 Million

Jobber, a software company that helps home-service firms manage their businesses, has raised a $60 million growth equity round, as it seeks to capitalize on the spike in the industry brought on by Covid-19. 

The firm has 100,000 service professionals on its platform across 47 countries, with the U.S. comprising its largest individual market. Last year Jobber processed $1.7 billion in transactions, and during that time it grew recurring revenue by 90{ac967ad544075fb2f6bcea1234f8d91da186cac15e616dc329e302b7c7326b8c}. 

The pandemic has been a tailwind. “Our customers are home service businesses: landscapers and lawn care companies, plumbers, electricians, HVAC businesses,” cofounder and CEO Sam Pillar says. “These aren’t discretionary services. If your roof is leaking, you’re gonna fix it. If your furnace is broken, you’re gonna fix it.”

Summit Partners led the funding round, with participation from OMERS Ventures, Version One Ventures and Tech Pioneers Fund. “We believe the home service category is in the early stages of a significant digital transformation,” Colin Mistele, a principal at Summit, said in a statement. 

It’s a wide-open market. There are some 5 million small and medium-size home service businesses in the U.S., many with analog workflows. Jobber’s pitch is that—like ServiceTitan, Housecall

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