Potomac Tech Wire - May 9, 2023

Goldman Sachs Provides $150 Million Facility to DC-based MPOWER Financing

o Goldman Provides $150 Million Facility to DC-based MPOWER Financing 
o Maryland-based Precise Systems Received Investment from Bluestone
o DC-Based Holocron Technologies Raises Pre-Seed Round 
o Deadline is Wednesday For Startups Wanting to Present at NEXT RAISE
o Bethesda-Based iLearningEngines to Go Public Through Merger with SPAC
o Maryland Tech Council Names Winner of 2023 ICON Awards
o Alexandria-Based VSE Acquires Desser Aerospace
o Briefly Noted: Boeing - Ryanair, Constellis, Spire Global

o Goldman Sachs Provides $150 Million Facility to DC-based MPOWER Financing 

Washington, DC – MPOWER Financing, a DC-based fintech startup providing educational loans to international students, announced that it has closed on a $150 million debt facility from Goldman Sachs. The facility is backed by assets from MPOWER Financing. The company said the funds will be used to grow its student loans for international students attending universities in the United States and Canada. In 2021, MPOWER raised $100 million in equity financing from Tilden Park Capital Management and King Street Capital Management.

"We are thrilled that Goldman Sachs is supporting the MPOWER team as we contribute to the important mission of making higher education and socioeconomic mobility accessible to the millions of international and DACA students studying in North America," said Manu Smadja, CEO and Co-founder of MPOWER Financing. 

o Maryland-based Precise Systems Received Investment from Bluestone Investment

Lexington Park, Md. – Precise Systems, a Lexington Park, Md.-based developer of software for the U.S. military, announced that it has received an investment from McLean-based private equity firm Bluestone Investment Partners. The amount of the investment was not provided. Precise Systems said it has over 800 employees located throughout the country. As part of the deal, Scott Pfister, the company’s president, has taken on the role of CEO; Tom Curtis, the former CEO, has joined the company’s board of directors.

"There is a lot of opportunity for growth delivering modernized engineering and program management solutions for our current customers across the Navy and new customers throughout the Department of Defense," said Pfister. "Collaborating with an experienced, sector-focused partner like Bluestone will help us accelerate that growth." 

o DC-Based Holocron Technologies Raises Pre-Seed Round 

Washington, DC – Holocron Technologies, a DC-based startup that uses applied AI to track the science and technology information landscape, said it has raised an unspecified amount in a pre-seed round, led by New North Ventures. Winklevoss Capital Management, Wilson Sonsini Investments, Fulcrum Venture Group, Sica Ventures, ONESIXONE Ventures, Falcon Eclipse Ventures, FiDi Ventures, Syndicate 708 and other private investors also participated. Holocron's platform uses machine learning to help users monitor global technological developments and generate insights and reports. 

o Deadline is Wednesday For Startups Wanting to Present at NEXT RAISE Event

Potomac, Md. – As part of its NEXT RAISE entrepreneurial support network, law firm Shulman Rogers is accepting applications for its upcoming event – called “Seed to Series A Investor Showcase” – aimed at matching entrepreneurs with funders. The deadline for founders wanting to present at the event is Wednesday, May 10th. The event will be held on June 1. Capital Raise and Deloitte are partnering on the event.

“Given that funding is not only a huge pain point, but also a key contributor to startup longevity, this event presents a tremendous opportunity for founders,” said Krista Smith, emerging growth practice leader at Deloitte. “NEXT powered by Shulman Rogers is offering entrepreneurs the chance to network and connect with leading regional and national VCs and angel groups in a setting that eliminates cold-calling and traditional match-making efforts.” 

o Bethesda-Based iLearningEngines to Go Public Through Merger with SPAC

Bethesda, Md. – iLearningEngines, a Bethesda-based provider of AI-powered learning automation and information intelligence, said it will go public through a merger with Arrowroot Acquisition, a special purpose acquisition company (SPAC) sponsored by private equity firm Arrowroot Capital. The deal includes a minimum cash requirement of $100 million that will be funded through several sources, with the combined entity receiving $43 million from Arrowroot Acquisition’s trust account. The combined company will retain the iLearningEngines name and be listed on the NASDAQ under the ticker symbol “AILE.” It will continue to be led by current CEO Harish Chidambaran.

o Maryland Tech Council Names Winner of 2023 ICON Awards

Rockville, Md. – The Maryland Tech Council named the winners of its 2023 ICON Awards recently during an event in Rockville. Winners of the awards, which annually honor what the organization calls the “best in Maryland’s technology and life sciences communities” included: Barry Lipsy (Venture Mentoring Services Mentor of the Year); TechSlice (Venture Mentoring Services Venture of the Year); MaxCyte (ICON Award); Rodney C. Williams, JASINT Consulting and Technologies (CEO of the Year, Government Contracting); Frank Amato, SYNAPS Dx (CEO of the Year, Life Sciences); Mia Millette, Skyline Technology Solutions (CEO of the Year, Technology); Theradaptive (Emerging Life Sciences Company of the Year); Channel Program (Emerging Technology Company of the Year); SIXGEN, Inc. (Government Contracting Company of the Year - Up to $50M); 22nd Century Technologies (Government Contracting Company of the Year - $50M and above); Kite, a Gilead Company (Life Science Company of the Year); Alertus Technologies (Technology Company of the Year); JMI Equity (Investor of the Year); and Maurice Tyler, CIO, Bowie State University (C-Suite of the Year). The full list of winners is available here.

o Alexandria-Based VSE Acquires Desser Aerospace

Alexandria, Va. – VSE, an Alexandria-based provider of aftermarket distribution and maintenance services for the transportation sector, said it will pay $124 million to acquire California-based Desser Aerospace, a distributor of aircraft tires, tubes, brakes and batteries, and provider of maintenance and repair services. The deal is expected to close within 90 days. Concurrent with the acquisition,VSE also will sell Desser Proprietary Solutions businesses, including Seginus Aerospace, AOG Aviation Sparesand DAC Engineered Products, for $30 million, to the New York-based Loar Group. 

 o Briefly Noted:

(Arlington, Va.) After negotiations were broken off last year over disputes over pricing and delivery schedules, Arlington-based Boeing and Ryanair announced that the European discount airlines has signed an order for up to 300 airplanes. The deal is for 150 737 MAX airplanes, with an option for 150 more.

(Herndon, Va.) Herndon-based Constellis, a provider of risk management and mission support services to government and commercial customers, has named Carla Provost as an advisor. Provost served as chief of the U.S. Border Patrol from August 2018 to January 2020, retiring after 25 years in the Border Patrol.

(Vienna, Va.) Vienna-based Spire Global, a provider of space-based data, analytics and space services, said it has launched a weather insights platform for the maritime industry. The platform utilizes radio occultation data acquired by the company’s satellite constellation and its proprietary weather forecasting model.