CHICAGO | Economic & Business Development

[IrishIllini]

Originally Posted by sentinel

Excellent news - the area that I bolded REALLY struck out at me

Yeah, that's great to see.

[HowardL]

Because Brexit ... This comes after speculation that CME was exploring the possibility to move CME Clearing Europe to Dublin to stay in the Eurozone.

CME Group bids for LSE's French clearing business: Sunday Times

[Justin_Chicago]

Data-science startup Civis raises $22 million

Civis Analytics, a data-science startup that has been quietly growing its roster of customers and talent since launching four years ago, raised a huge round of capital.

The company raised $22 million, led by Drive Capital, a Columbus, Ohio-based firm that recently raised a new fund, as well as strategic partners Verizon and advertising giant WPP, and Eric Schmidt, chairman of Google's parent company, Alphabet.

The new money will help Civis add more staff to build out its software platform for data scientists. The company plans to add 50 data scientists, software engineers and other technologists. Civis already employs about 135 people, up from 90 a year ago. Roughly half of them are data scientists, engineers and coders. The company recently moved into a larger, 29,000-square-foot space at 200 W. Monroe St. It also has a small office in Washington, D.C.

Article: http://www.chicagobusiness.com/artic...ses-22-million

[Justin_Chicago]

For Peapod spinoff, photos of Oreos and Cheerios mean big business

Peapod's founders, brothers Andrew and Thomas Parkinson, became pioneers in the online grocery industry when they founded their Skokie-based company in 1989. They were also among the first to encounter the headaches associated with e-commerce. One of the Parkinsons' biggest problems was gathering high-quality, consistent and updated images of every food item sold by the thousands of manufacturers who supply Peapod.

So in 2009, Peapod, now owned by Netherlands-based Ahold Delhaize, started ItemMaster to take photos for thousands of food and consumer packaged goods clients and build a cloud-based database. In March, Peapod spun it off into an independent company.

Today, the company announced a new partnership with Walmart.com in which the retailer will use ItemMaster's photography, as well as videos and user-generated reviews that ItemMaster also collects in its database. The news follows last week's announcement that the company raised $7.5 million in Series A funding, led by New Jersey-based Edison Partners. Chicago Ventures, which led an earlier seed round, also participated.

Murray says ItemMaster will use the funding to invest in technology and nearly double its headcount. The company, which will relocate to 30 N. LaSalle in the Loop from Skokie next year, has about 50 employees in Chicago and 70 total. It plans to add another 50 in technology, product and sales positions next year.

Article: http://www.chicagobusiness.com/artic...noff-expanding

[Justin_Chicago]

Big plans on tap for Lagunitas: More beer, concert venue, rooftop bar

Lagunitas Brewing Co., known for beers like Lagunitas IPA and Lil Sumpin' Sumpin' Ale, has major plans in store for its Chicago brewery, such as creating a small concert venue, opening a rooftop bar and tripling its brewing output.

To accomplish those plans, which are still pending regulatory approval, Lagunitas is trying to change its zoning — from that of the more restrictive planned manufacturing district in the Pilsen industrial corridor to an industrial-commercial planned development that would allow for special event use, such as concerts.

The zoning change would allow Lagunitas to move forward with its plan of creating a small venue for occasional concerts within its existing 300,000-square-foot facility at 2607 W. 17th St., similar in spirit to the amphitheater at its Petaluma, Calif., brewery. Lagunitas also intends to expand its existing taproom and boost its operations with a second bottling line and cold storage facility, said spokeswoman Karen Hamilton, who's sister of Lagunitas founder Tony Magee.

The music venue, which could have capacity for between 400 and 650 people, could build up to about 15 concerts per year, like the Petaluma amphitheater, she said.

The Chicago brewery produces about 405,000 barrels per year, beer that's distributed east of the Rocky Mountains and overseas in Europe, Hamilton said. The second bottling line and additional fermenters would enable the facility to max out at 1.2 million barrels a year.

Article: http://www.chicagotribune.com/busine...130-story.html

[Justin_Chicago]

Tyson Foods launches $150 million VC fund in Chicago

Tyson Foods has launched a $150 million corporate venture fund that will be run from Chicago.

Tyson, which is the world's top meat processor, is based in Springdale, Ark., but it bought Chicago-based Hillshire Brands, the packaged-meat spinoff of Sara Lee, for $8.55 billion in 2014.

Tyson joins Motorola Solutions, Baxter International, Abbott, Zebra Technologies and General Electric among companies with corporate venture capital groups in Chicago.

Large companies are feeling pressure to come up with new sources of innovation in hopes of not becoming the next industry to get “Ubered.” The number of corporate VCs has doubled in the past four years, according to New York-based research firm CB Insights.

Tyson New Ventures LLC will be run by Mary Kay James, who was at DuPont Ventures, the corporate venture arm of the chemical giant, for 13 years.

The company will concentrate its investments in three areas: alternative proteins, food security and using the internet in the food chain. Its first investment was in Beyond Meat, a startup in El Segundo, Calif., that created a plant-based protein.

Article: http://www.chicagobusiness.com/artic...und-in-chicago

[Justin_Chicago]

Chicago-based G2 Crowd raises $4.3 million in new funding

G2 Crowd, the Chicago-based company that aggregates user reviews of business software, has raised $4.3 million in funding, according to a Securities and Exchange Commission document filed Thursday.

The new funding came from existing investors and founders, said Adam Beeson, G2 Crowd’s communications director. The company was launched in 2012 by five co-founders, including former SteelBrick CEO Godard Abel ⇒.

The company, which moved into a new downtown office space in July, has doubled its headcount in the last year, Beeson said. It was previously headquartered in Highland Park.

It raised a $7 million Series A round last year to ramp up hiring and expand into new software categories.

Article: http://www.chicagotribune.com/bluesk...215-story.html

[Justin_Chicago]

Tiger Woods, Mayor Rahm Emanuel on board for South Side golf mecca

For decades, Chicago's golf impresarios have wondered if it would be possible to recast Jackson Park and the lakeside South Shore into a dazzling course that could host a premium PGA Tour event such as the BMW Championship.

Finally, the answer is yes.

The Tribune has learned that Woods has committed to be the lead designer. In a statement released by TGR Design, Woods said: "This project can create incredible possibilities for the community on the South Side. We want to design a course that everyone will enjoy."

And on Sunday, Mayor Rahm Emanuel will announce the formation of the Chicago Parks Golf Alliance (CPGA), a nonprofit charged with improving Chicago Park District courses and golf facilities, expanding youth golf programs and, most significantly, raising money to make the Jackson Park/South Shore project a reality.

Groundbreaking on the $30 million renovation is aimed for the spring, with hopes to complete the 18-hole championship course, plus either a short course or par-3 course, in 2020.

Jackson Park will remain open in 2017 and 2018, and the yet-to-be-named championship course will remain public, with discounted tee times for local residents.

The CPGA will partner with the Western Golf Association in two important ways: to promote caddie programs that could yield college scholarships and to customize the property so it's well-suited to host a tournament such as the 2021 BMW Championship, a FedEx Cup playoff event.

Article: http://www.chicagotribune.com/sports...216-story.html

[HowardL]

Originally Posted by Justin_Chicago

Tiger Woods, Mayor Rahm Emanuel on board for South Side golf mecca

I'm not a golfer but this is cool.

[HowardL]

All I ever post about is the financial services sector of Chicago's business environment but this one is great. I wish I could quote the entire article as it outlines one of the greatest, most overlooked strengths of this city in global affairs.

Chicago retains role as capital of derivatives industry
Open-outcry pits are becoming a thing of the past, but the expertise has stayed

When the Chicago Mercantile Exchange launched its electronic transaction system, its chosen name of Globex was a clear indication of how it saw the business developing.

Globex allowed people anywhere in the world to buy and sell futures as easily as the traders shouting in Chicago’s octagonal pits. The technology also signalled the beginning of the end of the open outcry system that had been operating in Chicago since the 19th century.

Yet, while the marketplaces have largely become virtual, Chicago has retained its role as capital of the listed derivatives industry.

The metropolitan area has 45,000 jobs in derivatives and related sectors — which includes trade in futures contracts and other financial products — about the same as 15 years ago, according to the Illinois Department of Employment Security.

[the urban politician]

^ A lot of articles about Chicago in there. A great read!

[jboy560]

Looks like 1,000 new jobs are heading to Aurora thanks to Amazon. Good news!

http://www.chicagobusiness.com/artic...ora-facilities

[OrdoSeclorum]

Originally Posted by jboy560

Looks like 1,000 new jobs are heading to Aurora thanks to Amazon. Good news!

http://www.chicagobusiness.com/artic...ora-facilities

7,000 jobs added in the last couple years is A LOT of jobs. I know that sales laws meant that Amazon kept some facilities out of Illinois until fairly recently. Do we have an idea if all this hiring is just isostatic rebalancing from other regional facilities into Chicago, rapid growth of Amazon's business or a re-focus in Chicago as a major shipping center? All three?

[Baronvonellis]

Amazon is growing fast and booming. Prime membership is their biggest money maker. Their stock rises based on how many Prime members they can add, and how fast they can add them. Prime members order significantly more items than non-Prime members. In order for Prime to be profitable to them they need lots of warehousing. Prime shipping needs lots of warehousing close to their customers to get their free 2-day shipping, and same day shipping in Chicago and select markets.

[marothisu]

HR software firm gets private-equity infusion

http://www.chicagobusiness.com/artic...equity-funding

StratEx, which makes software to help restaurants handle payroll, has gotten a little help of its own.

The Chicago technology company landed a seven-figure investment from Halyard Capital, a private-equity firm based in New York, to rev up its already fast growth. Terms of the deal weren't disclosed, but CEO Adam Ochstein said it was a minority investment.

...

StratEx, founded in 2005, is profitable and growing fast, he said. It has doubled its staff in the past year to about 90, and he expects headcount to top 150 in the next 12 months.

[Justin_Chicago]

O'Hare Debuts New $222 Million Cargo Facility

Approved in 2012, the $220 million project was funded mostly by the real estate company Aeroterm, buffeted by about $62 kicked in by airlines. Per an agreement with the city, the facility will "provide $600 million of economic benefit to the airport," officials said.

The warehouse sits on 65 acres of previously undeveloped land on airport property.

Speaking inside the sprawling new building, Mayor Rahm Emanuel said the airport hasn't been pulling its weight when it comes to cargo handling.

"Chicago is only fifth in the United States and seventh worldwide when it comes to how much cargo we transport, and I think it's been underperforming as it relates to what its capacity is," he said. "This investment, and the jobs that come with it, will allow Chicago to actually fight in its weight class in terms of what we can do with economic growth."

But the facility's impact on the volume of cargo flights will be "minimal," instead "significantly improv[ing] cargo processing efficiency at O'Hare," according to Owen Kilmer, a spokesman for the city's aviation department.

Airlines at O’Hare handled more than 1.6 million tons of air cargo in 2015, its highest volume ever, officials said.

Shipments began pouring into the completed warehouse in mid-October, Kilmer said, with a second building aiming to start operations next March. The third and final phase of the addition is still "in its planning stages, he said.

Once completed, the entire facility will employ about 1,200 full-time workers, officials said, with the new traffic spurring the creation of an estimated 10,000 more jobs "throughout the region."

Article: https://www.dnainfo.com/chicago/2016...roterm-project

[F1 Tommy]

Originally Posted by Justin_Chicago

O'Hare Debuts New $222 Million Cargo Facility

Approved in 2012, the $220 million project was funded mostly by the real estate company Aeroterm, buffeted by about $62 kicked in by airlines. Per an agreement with the city, the facility will "provide $600 million of economic benefit to the airport," officials said.

The warehouse sits on 65 acres of previously undeveloped land on airport property.

Speaking inside the sprawling new building, Mayor Rahm Emanuel said the airport hasn't been pulling its weight when it comes to cargo handling.

"Chicago is only fifth in the United States and seventh worldwide when it comes to how much cargo we transport, and I think it's been underperforming as it relates to what its capacity is," he said. "This investment, and the jobs that come with it, will allow Chicago to actually fight in its weight class in terms of what we can do with economic growth."

But the facility's impact on the volume of cargo flights will be "minimal," instead "significantly improv[ing] cargo processing efficiency at O'Hare," according to Owen Kilmer, a spokesman for the city's aviation department.

Airlines at O’Hare handled more than 1.6 million tons of air cargo in 2015, its highest volume ever, officials said.

Shipments began pouring into the completed warehouse in mid-October, Kilmer said, with a second building aiming to start operations next March. The third and final phase of the addition is still "in its planning stages, he said.

Once completed, the entire facility will employ about 1,200 full-time workers, officials said, with the new traffic spurring the creation of an estimated 10,000 more jobs "throughout the region."

Article: https://www.dnainfo.com/chicago/2016...roterm-project

This is big for ORD. Now they can push Memphis and Louisville and pass Anchorage(mainly a fuel stop). Now ORD needs to work on getting more of it's share of the North American international passenger traffic back.

[Justin_Chicago]

Easily accessible on the Blueline CTA

Itasca-based First Midwest moving HQ, 300 workers to Chicago

The parent of First Midwest Bank is moving its corporate headquarters from northwest suburban Itasca to the Northwest Side of Chicago.

First Midwest Bancorp will relocate its headquarters to Triangle Plaza, 8750 W. Bryn Mawr Ave., by the spring of 2018, the company announced today. The 80,000-square-foot space in an existing building will house more than 300 employees, including commercial banking teams.

The move to a more central location came because the bank needs more space, spokesman Jim Roolf said. “It was because of access into downtown and into the suburbs, north, west and south,” he said. “That's where our footprint is.”

Once it moves, First Midwest will join locally based commercial banking competitors MB Financial and Wintrust Financial with headquarters near O'Hare Airport. The other main locally based commercial bank, PrivateBancorp, has headquarters in downtown Chicago.

Article: http://www.chicagobusiness.com/artic...ers-to-chicago


Recycling of local capital and talent

Thinkorswim co-founders launch new firm

Thinkorswim and Dough co-founder Tom Sosnoff is once again starting up his own Chicago retail brokerage after splitting with partner TD Ameritrade.

Dough, an online and mobile platform for do-it-yourself investors which does business as Tastytrade, said in a statement today it has created a new Chicago-based broker called Tastyworks.

Tastyworks will incorporate Tastytrade's digital talk-show and other content. Sosnoff and other backers of Dough, including the venture capital firm Lightbank led by Brad Keywell and Eric Lefkofsky, launched Tastyworks today, saying the broker's Tastytrade content and pricing set it apart from a slew of rivals.

"We're letting content lead us to the next level," Sosnoff said in an interview. "When you're trading on our platform, you can also watch the show," he said.

Sosnoff decided to embark on the new venture independent of Omaha,Neb.-based TD Ameritrade after they were unable to reach agreement on a monetary terms to continue their partnership for the next ten years, he said. Their former alliance followed TD Ameritrade's purchase of Thinkorswim in 2009 for $606 million. He's leading the new firm with Thinkorswim co-founder Scott Sheridan, who is now the CEO of Tastyworks, and with Dough Co-CEO Kristi Ross. They and other employees own a majority of Dough, the parent to Tastyworks.

Article: http://www.chicagobusiness.com/artic...aunch-new-firm

[Justin_Chicago]

Software maker Mediafly gets $10 million

Mediafly, a small Chicago tech company with a roster of big clients, raised $10 million in private equity.

Its technology helps companies such as MillerCoors, PepsiCo and GE Healthcare to customize and distribute sales information digitally to large teams of employees. Another group of customers includes media companies, such as movie studios, who use it to securely share video content internally.

The money from Boathouse Capital, based in Wayne, Pa., brings total investment in Mediafly to $22 million.

The company, founded in 2006, will use the new funding to add staff in marketing, sales and engineering, says CEO Carson Conant. It plans to add 20 to 30 people this year to a staff of about 40. Mediafly more than doubled its space recently, moving to an 18,000-square-foot office at 150 N. Michigan Ave. from 444 N. Michigan.

Article: http://www.chicagobusiness.com/artic...ets-10-million

[LouisVanDerWright]

Originally Posted by Justin_Chicago

Easily accessible on the Blueline CTA

Itasca-based First Midwest moving HQ, 300 workers to Chicago

Further consolidation of suburban office centers towards the core. This is exactly what I keep talking about in regards to the value of the O'Hare office node. It has quickly become a hub for companies looking to access city talent pools while still staying connected to a base of suburban workers or clients. I wonder how long it will be until the O'Hare market sufficiently tightens to trigger the construction of a new large office building or two? Perhaps some of the lots by Cumberland that have been bandied about as office sites for years will finally bite the dust? It would sure be nice if the city forced them to front the street and be pedestrian oriented. That area could be quite a little mini downtown if it were reoriented away from cars. That would only serve to make it even more attractive to businesses as amenities to their workers would go through the roof if you could walk somewhere for lunch or to go shopping after work.