Transmode Raises Extra $15M
STOCKHOLM -- Transmode Systems, a fast-growing supplier of a new generation of Optical Networking systems, today announced that it has completed a $15M financing round aimed at accelerating the company’s growth plans.
Participating in the round were existing investors Amadeus Capital Partners, Pod Holding and European Equity Partners, and a new investor in the company, HarbourVest Partners.
Transmode’s business has continued to gain momentum throughout 2004, with an anticipated 100%+ growth in revenues from 2003, the addition of several large carrier customers including ntl, Tiscali and Song Networks, and the launch of a new Next-Generation Edge Aggregation platform, the Transmode Service Extender. The new financing round will be used to support the company’s expansion into the North American and Asian markets and to further strengthen its product portfolio.
“We were attracted to Transmode because of its unique combination of sales traction, technology leadership, execution record and strategic vision”, said Alex Rogers, Vice President of HarbourVest. “The company has focussed on the needs of its customers since its inception, and has coupled this market insight with a highly innovative design approach to deliver products with the precise price/performance attributes that customers are demanding. What impressed us most was what Transmode had achieved with the $28M investment it had raised prior to the current round: more than 60 customers globally, a strong network of Value-Added Resellers, a highly competitive product portfolio and a business model that is the envy of its peers in the industry”.
“We are delighted to welcome HarbourVest as a new investor in Transmode, particularly during a period when very few telecoms vendors are attracting outside finance”, said Isaac Olasoko, Transmode’s CEO. “We also greatly appreciate the continuing endorsement and support of Amadeus, EEP and POD Holding by making a substantial contribution to the round”.
“Now that we have established ourselves as a serious player in the Optical Networking market, we are embarking on the next phase of our ambitious growth plans”, continued Mr Olasoko. “Having a global partner such as HarbourVest on board not only provides us with the financial firepower and flexibility to execute these plans, but also increases our exposure in strategic markets such as North America and Asia.”
Transmode Systems AB