AAA Corporates to take leave of Sensity in Verizon acquisition

Corporates to take leave of Sensity in Verizon acquisition

Telecommunications group Verizon agreed yesterday to acquire US-based LED lighting technology provider Sensity Systems for an undisclosed sum in a deal that will give corporate venturing unit Simon Venture Group (SVG) its largest exit so far.

Sensity is the developer of NetSense, a technology platform that can convert LED light fittings into smart devices that can sense and provide data in near real time. It boosted its computer vision offering last month by buying video and analytics software producer Eutecus.

Mike Lanman, Verizon’s senior vice-president of enterprise products and internet of things (IoT), said: “This transaction will accelerate the deployment of large-scale implementations that will drive the digital transformation of cities, universities and venues.

“Verizon is uniquely positioned through its infrastructure investments at the network, platform and application levels to provide holistic solutions that empower communities to address their most pervasive challenges.”

Sensity has raised approximately $74m in funding, $36m of which came from a July 2015 series C round featuring SVG, the corporate venturing arm of real estate developer Simon Property, which valued the company at $110m.

The round, led by networking technology producer Cisco’s Cisco Investments unit, also featured lighting equipment maker Acuity Brands and GE Ventures, the corporate venture capital subsidiary of industrial product group General Electric.

J. Skyler Fernandes, managing director of Simon Venture Group, told Global Corporate Venturing by email: “The exit is a few multiples over the valuation we invested at, so we are quite happy. It will be our third exit, and largest to date.”

Fernandes added that the first two exits were from shopping rewards service Shopkick, and fashion and beauty product data app Rank & Style, which was acquired by Facebook alumni. Other exiting investors in Sensity include Radar Partners, Almaz Capital, Mohr Davidow Ventures and Silver Creek Ventures.

– Image courtesy of Sensity Systems

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