Today, I’m excited to share the news that Hemster, a startup I recommended in October 2018, just raised $4 million in an investment round led by venture capital (VC) firm Bullpen Capital. Hemster’s new valuation is substantially higher than the $5 million valuation cap our members invested at (investors should have received an update with full details).
All members who invested in Hemster should also have received an email from Republic asking them to sign a conversion agreement. If you haven’t signed this yet, we recommend doing so ASAP.
Hemster is on a mission to bring on-demand tailoring and clothing customization into the mainstream. Hemster’s new investor, Bullpen Capital, is a heavyweight VC firm based in San Francisco. It raised a massive new $140 million fund last year. The firm has made hugely successful investments in companies such as Udemy and FanDuel. It is one of the world’s top up-and-coming VC firms.
The fact that Bullpen led Hemster’s new round is an extremely positive sign. As the “lead investor,” Bullpen negotiated the deal terms, invested the most money and performed extensive due diligence.
Oyster Ventures and The Fund also participated in Hemster’s funding. Oyster’s portfolio includes impressive startups like Telegram, Equidate, Postmates and Republic. And The Fund is a New York City-based VC firm.
The backing of these powerful VC firms should be a strong growth catalyst for Hemster. These firms bring major benefits beyond injecting capital. They have vast professional networks to tap into to help Hemster grow. And they will help Hemster recruit top talent and will generally propel the startup forward in whatever way they can.
With this cash infusion from powerful new backers, I believe Hemster, ably led by founder Allison Lee, is poised to succeed.
Co-Founder, First Stage Investor