Energy drink startup MATI says it expanded the latest funding round to meet demand from new investors, taking in another $2.55 million and as a result in stepping up its expansion plans. But CEO and founder Tatina Birgisson also wants another $164,000.
MATI, which has doubled its flavor offerings to six, announced the additional funding late Tuesday after an SEC filing earlier in the day disclosed the new capital.
A whopping 58 investors, from angels to private equity firms and what MATI says are “internationally-known athletes and celebrities” participated in the expanded round.
The additional cash lifts the second round total to some $5.25 million. The SEC filing says MATI is still seeking to raise additional funds. Overall, MATI has now raised more than $8 million since launch in 2012.
According to Birgisson, she decided to expand the fund-raising because investors wanted in – and she saw a path forward to speed up the company’s reach.
“We thought we had completed our financing this year but there was so much interest and excitement from investors who saw the opportunity after our last close, we decided to expand the round. With the $5 million raised this year, we will now be able to expand our footprint to much more of the southeast,” said Birgisson, who invented the energy drink and formed the company while a student at Duke University.
MATI initially closed the round in April. But with the company reporting “triple digit growth,” Birgisson chose to seize the opportunity to get additional cash and step up growth.
New investors include the North Carolina Venture Capital Multiplier Fund, which is managed by Durham-based Hatteras Ventures as well as the Carolina Angel Network and Harbright Ventures.
Birgisson also said previous investors added more capital.
Flock of angels
Durham-based IDEA Fund Partners, which was an early backer of MATI, also worked with investors in its own fund to offer them a chance to invest directly in MATI as part of an “equity co-investment,” an increasingly popular financial tool in the VC industry..
Seven IDEA Fund Partners participated in the $230,000 funding in Mati Energy, IDEA Fund’s Lister Delgado told WRAL TechWire.
Among the angel investors are “internationally-known athletes and celebrities who will open doors for MATI in the coming years as we continue to build a global brand,” Birgisson said.
MATI also made two board of directors moves, adding serial entrepreneur and investor David Allen and Rob Soni, a VC in Boston. Soni will serve as chair.