Case Study

Overview

• Deako Inc. is a patented modular light switch company disrupting the US housing light switch market with simple and smart products that homebuilders, electricians, and homeowners can install easily
• The Company recently signed a multi-year contract with DR Horton, one of the largest homebuilders in America, to exclusively provide light switches for the next 3 years in a contract worth $100M+
• The company has broad applicability across construction and renovation markets with a near-term focus on Top 100 single family and multi-family residential US homebuilders
• Headquartered in Seattle, WA

Situation

• In addition to the new multi-year exclusivity contract, the company is projected to gain further traction with other top 25 homebuilders in their existing customer base
• The company is looking to increase working capital to fulfill national exclusivity contracts with the nation’s largest builders
• The Company is also seeking to make investments to further develop their next generation products and expand their sales and support teams
• Cascadia was engaged by Deako to pursue a growth equity investment from both corporate and financial investors

Cascadia Process

• Cascadia positioned the company around its patented technology, scalability, value add capabilities to all stakeholders, large residential & renovation market opportunity, and experienced management team
• Cascadia ran a marketing process, reaching out to potential investors that understood and had strong interest in the smart home, IoT, and real estate tech environment
• Kinetic Ventures and a consortium of private and corporate investors invested growth equity in Deako in March 2021