Launch NY portfolio company Verivend acquired in successful exit
Verivend is the third successful acquisition of a Launch NY portfolio company since 2023
Buffalo, NY– Launch NY is excited to announce the successful sale of portfolio com pany Verivend, a fintech startup based in Buffalo. Verivend announced this week that it has been acquired by iAltA, which is owned by investment firm WestCap.
Verivend will be paired with another newly acquired company, Betterfront, to create a cut ting-edge tech platform for private market inves tors to raise, deploy and track capital. Verivend cofounders Rodney Reisdorf and Jonathan Ebel will remain with the company, based in Buffalo. Terms of the deal are not being publicly disclosed.
Verivend was launched in 2019 and was first backed by Launch NY in 2020. The company went on to win a $500,000 award in the 43North competition in 2021 and then spent the next sever al years building its busi ness. The company start ed picking up significants team in 2024 – crossing the 100-customer thresh old with a 100% renewal rate –which created the momentum that led to its acquisition. The company has passed the milestone of $2 billion in total transaction volume since being founded in 2019.
Launch NY supported the company throughout that journey. Verivend closed on $125,000 through the Launch NY Investor Network in January for its seed extension round, to which Launch NY also contributed $50,000 from its non profit Seed Fund. In total, Launch NY made $275,000 in direct investments into Verivend.
“This exciting moment for Verivend is a per fect example of how Launch NY supports the Upstate New York innovation ecosystem in cutting-edge sectors like fintech,” said Marnie LaVigne, Ph.D., president and CEO of Launch NY. “Our ability to provide first-money-in capital helps companies hit criti cal milestones that make them attractive to other investors and acquirers. Our flexible mentorship and investment programs step up when necessary at the beginning and in follow-on rounds, propel ling our companies into new phases of the startup life cycle and ultimately toward a successful exit.”
“Launch NY played a pivotal role in providing capital we needed to get established in our early days from their funds, then they even followed on not only from their funds, but their Investor Network,” Verivend co founder and CEO Rodney Reisdorf said. “Having a local source of invest ment capital and sup porters to help us grow right in our hometown was invaluable, and I’m so glad we are part of the momentum showing that you can build a successful startup in this com munity.”
The only venture devel opment organization in Upstate New York and most active seed fund in NewYork State, Launch NY started investing in startups within its foot print in 2016. It now has three robust investment vehicles, including a non profit seed fund, Investor Network syndicate and Launch NY LP Seed Fund II, which recently announced its final close at $15.775 million. While venture capital, M&A and IPO markets are all struggling through a lengthy global down cycle, Launch NY has seen a cascade of exits from its portfolio in recent years. Others include:
Dimien, a Buffalo-based clean energy startup that was acquired in 2024 by a larger business based in Boston at the cutting edge of clean energy technology. The new company, Pure Lithium, acquired Dimien’s intellectual property, manufacturing equipment and took on its experienced team.
Patient Pattern, a Buffalo-based startup that developed a platform to improve outcomes and manage risks in high need medical populations, was sold to Ontario-based PointClickCare in 2023.
Launch NY has many exciting companies in its existing portfolio that have raised significant rounds of institutional capital, are scaling quick ly and will eventually continue the trend of successful exits.