Artificial Intelligence (AI) is the key driver behind Canadian fundraising intelligence provider iWave acquiring Nonprofit Operating System of Des Moines, Iowa. Nonprofit Operating System’s AI-powered copywriting tool can produce first drafts of fundraising appeals in minutes rather than hours.
It is the third recent deal in the nonprofit space involving Incline Equity Partners. iWave was acquired by Incline Equity Partners in October 2022, roughly two months after the private equity firm acquired RKD Group, a prominent fundraising agency in Dallas. While terms of the deals were not disclosed, Incline Equity Partners is known to invest in growing companies with enterprise values of between $25 million and $750 million.
There was no information available on clients in common. Users will be able to combine iWave’s data-driven fundraising insights with the use of generative AI. It can be used to quickly create first-draft content of everything from fundraising letters to website content and social media posts.
NonprofitOS founder Cherian Koshy, a certified fundraising executive (CFRE) and chartered advisor in philanthropy (CAP), will join the iWave team under terms of the deal where he will continue to refine and improve the generative AI solution he pioneered.
“Cherian and his team have built an incredible product that, just like iWave, is designed and built exclusively for nonprofits,” iWave CEO Craig O’Neill said via a statement. “Everyone here at iWave is passionate about helping nonprofits do even more good, and this announcement is an important step in expanding the ways we do that.”
Said Koshy: “As a fundraiser myself, I’ve lived the challenges fundraisers face daily. That’s why I created NonprofitOS – to help fundraisers focus on meaningful interactions with donors,” Koshy said via a statement.” According to Kosky, acquisition will allow for “aligning two worlds that were always meant to be together — actionable fundraising intelligence and empathetic engagement,” he said.
Incline Equity Partners is the second private equity firm to own iWave. Sverica Capital Management owned iWave for five years, having acquired it in June 2017.
