As the year draws to a close, we wanted to reflect on what has been a record year for MTech Capital.
2021 has seen the highest ever level of venture capital activity globally and insurtech has been a focus for investors. As of the end of Q3, insurtech companies had raised more than $10 billion across 338 financing rounds, surpassing the previous record set in 2020 with three months left-to-go in the year.
MTech Capital has remained incredibly active during this time.
We have completed seven new investments in 2021, welcoming Monitaur, Rest Less, and Voxel to the portfolio with a further 4 closings to be announced soon. We made investments across all lines of insurance: P&C, life, health, employee benefits, and asset management. This has been our most active year for new investments since launching our fund, a reflection of the high quality of opportunities we see in the insurtech space and MTech’s differentiated proposition to entrepreneurs.
Existing investments in our portfolio at the start of the year were extremely successful in raising new capital: More than $450m in follow-on financing was raised by Corvus, DealerPolicy, Embroker, and Insurify — indeed each raised over $100m from top-tier VC firms. In addition, Akur8 and Inshur both completed Series B financings for $25m+. All six rounds were completed at a significant premium to their previous round of financing. Huge congratulations to all of you.
Back in January we had our first exit at MTech Capital with Bold Penguin being acquired by American Family Insurance. The valuation was not disclosed but represented a very attractive return for MTech’s investors and a great outcome for the Bold Penguin team. We wish them well in their new home. We strongly believe Bold Penguin will continue to be the leading small commercial insurance marketplace for agents.