Sydney-based real asset modelling software starup Trendspek, has raised $6.3 million in a Series A.
Real estate technology VC Taronga Ventures led raise as a new investor, supported by insurer IAG’s VC arm, Firemark Ventures.
The cash is earmarked to grow the team to accelerate product development, expand the existing global reach, and offer a high-level of expert support to the customers who have been central to the company’s product development.
Trendspek has pioneered a new category in the digital twin market, with its Precision Asset Intelligence (PAI) software becoming the gold standard in asset management. The business creates 3D digital models of real assets for inspection and analysis that can be done in hours rather than the days of traditional physical inspections.
The startup took part in Taronga’s RealTechX innovation program last year, and in 2020, raised $1.1 million in a Seed round led by the Sydney Angels investment syndicate.
Cofounders Derek Feebrey, Fiona Church and Mitch Deam are former Qantas pilots who launched PAI in 2019 as a solution to what to do with the drone footage data they’d collected.
The software converts drone footage of critical infrastructure that’s difficult to inspect for maintenance, such as mobile towers, chimneys, warehouses and water towers, into 3D virtual digital models to inspect. It can chart deterioration over time with subsequent flyovers to monitor the safety of buildings and towers.
Trendspek counts CBRE, NationalGrid, PGIM Real Estate and Applus+ among its client based, having expanded into Europe and the UK in 2021, followed by the US this year
Feebrey, the company’s CEO, said the interactive 3D models created by PAI feature detail down to 1mm.
“The problem of deteriorating infrastructure and the increased risks and cost of managing these assets is one that is felt globally and is the driver behind a Digital Twin market tipped to reach over US$73 billion by 2027,” he said.
“Trendspek is working with asset owners across property and infrastructure to provide certainty and control in this challenging environment.”
The backing of Firemark demonstrates the strategic value of Trendspek as a critical tool in risk management for the real asset owners.
“We have incredibly strong alignment with both of these investors,” Feebrey said.
“Like Trendspek, Taronga Ventures prioritises a robust ESG approach to support its partners across different real asset sectors. Through Taronga’s early introductions to their partners, such as PGIM Real Estate and CBRE, Trendspek has been able to successfully deliver projects and build major customer relationships.”
Taronga Ventures cofounder and managing partner Jonathan Hannam said they were pleased with the rapid growth of the company having charted its success since the RealTechX program.
“Especially with so many of our institutional partners now utilising their product. In addition to asset management, we are also seeing groups like PGIM Real Estate use Trendspek as a part of their due diligence process for new acquisitions,” he said.
“Trendspek is changing how asset owners approach risk assessment and asset management, and we are pleased to support the team to make Precision Asset Intelligence a core component across global assets.”
IAG Firemark Ventures general partner Scott Gunther said they were “very excited about the technology and business opportunity” the PAI software creates.
“Trendspek were part of the 2022 Firemark Accelerator Program, which helped identify how we could work together to transform how we deliver insurance by giving property infrastructure owners deeper understanding of asset risk,” he said.
“We believe our investment in Trendspek, alongside our other key investments in the computer vision & imagery space, will provide better risk assessments, enable proactive and targeted maintenance, and improve the claims experience for IAG’s commercial customers.”
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