Posts Tagged ‘Fairfax’
Friday, September 28th, 2012
By Allan Maurer
John Backus is one of more than 60 thought-leaders participating in the Digital East event in Herndon, VA, next week.
Is there an angel-funding bubble that may burst as soon as 2014? John Backus, co-founder and managing partner at New Atlantic Ventures, an early-stage venture fund in Northern Virginia and Cambridge, MA, thinks so.
Backus, who is one of more than 60 thought-leaders participating in next week’s Digital East conference (Oct 2-3rd at the Westin in Herndon, VA), wrote in a recent blog post that ”We are in an angel bubble that will keep inflating when Crowdfunding meets Main Street in 2013. But the bubble will burst. Not tomorrow. But soon. Mark my word. Perhaps in 2014?”
Backus says he’s a big fan of angel investors and the startup incubators and accelerators that have formed over the last few years, but notes that only about 2.5 percent of angel funded companies will ever raise venture capital. Most of the rest, he says, “Crash and burn.”
Angel funded companies number over 60,000 now, and Backus expects crowdfunding, the JOBS Act, and incubators to kick that up to 70,000 to 100,000 in the next few years. “It may be easier for companies to raise a first round, but there will be more companies competing for venture capital money than today.”
He adds that while once companies that raised significant capital first could crowd out others. Now though, “Two kids with an allowance can get a Web company up quickly. My 14-year-old went to a app development camp and created a game. The new challenge is how do you break away and get yourself seen. That requires money.”
Started as Draper Atlantic
New Atlantic Ventures began in 1999 as Draper Atlantic and DFJ New England, two affiliates of the Draper Fisher Jurvetson network that worked closely together since inception.
From 1999 to 2006, Draper Atlantic and DFJ New England invested $180 million in 59 companies with investment returns in the top ten percent of all venture funds. The firms joined forces in 2006 to create New Atlantic Ventures, a venture capital firm with a past and present portfolio of companies that generated over $1 billion of revenue in 2011.
It invests from $250,000 to $3 million in early stage firms with a focus on mobile, e-commerce, ad tech, security, online education and the healthcare business. It’s current $117 million fund was raised in 2008.
The firm’s investments show where it sees profit in the future. We think many are on the cutting edge of digital technology in growth areas.
AppTap is a contextual app recommendations and advertising service reinventing the way apps are discovered and marketed. It serves over 150 million targeted, relevant app recommendations across partners like Sprint, AOL and USA TODAY.
Search paradigm doesn’t always work for mobile
“The search paradigm for apps doesn’t always work,” says Backus. “It doesn’t work unless you know the name of the app you’re searching for.” AppTap works to correct that.
“The mobile space is still interesting to us,” says Backus. “It’s disrupting so many industries.”
Next up for disruption, he says, “Is the entire TV industry. We’re going to move from a world where you get 500 channels for $50 a month to buying channels ala carte. People might have eight channels instead of 500. We don’t need that overload.”
That means that cable and satellite TV providers will have to suddenly become consumer marketing companies that can’t rely on getting that $50 a month, and that requires completely separate DNA, Backus suggests.
A college degree for 40 percent less
New Atlantic is also interested in the spot where technology and education meet and has invested in both American Honors and Koofers.
American Honors, based in DC, “Is trying to deliver on the concept of helping kids get a four-year college degree at 40 percent off. They do it by working with community colleges. No one cares where you start college, they just care where you get your degree.”
Another interesting New Atlantic firm based in the Potomac area (Fairfax, VA) is security firm Invincia. It has developed a patent-pending “revolutionary” desktop security software suite and threat intelligence network appliance for protecting enterprise, government and home users.
From the battlefield to the Enterprise
“They won a $20 million plus DARPA contract to give troops in the field secure mobile phones. They beef it up, lock it down and troops can use it for secret level communications. If it falls into the hand of the bad guys, they can’t get information from it. That will move from the battlefield into enterprises.”
Mobile, Backus says, “Is a huge security hole enterprises don’t know how to handle. Desktop security has many solutions. Mobile is an order of magnitude more complicated. People bring their own devices to work and add apps to them.”
What hasn’t happened yet in mobile- but will – “Is a high profile security incident.”
Security threats on mobile have the potential to be much more personally invasive than others, he says.
So far we’ve heard about people hacking into voicemails and stealing photos from mobile phones, but something much bigger is likely to break in the not too distant future, he says.
Thursday, June 9th, 2011
FUNDINGS – Boulder, Colorado-based Rally Software, which has offices in Raleigh, has raised $20 million in new funding led by Meritech Capital Partners. Meritech also backs Facebook, Salesforce.com, Zipcar, Presidio, Broadsoft, and NetSuite, among other well known tech firms.
Rally sells Agile application lifestyle management. According to a study by QSM Associates, software-driven companies that rely on Rally’s Agile ALM products and services are 50 percent faster to market and 25 percent more productive than industry averages.
Rally acquired Raleigh, NC-based Sixth Sense Analytics in 2010 and is hiring to fill two engineering positions in the Raleigh office. It currently has 17 employees. Vice President of Products, Todd Olson is based in Raleigh.
Coupons.com nabs whopping $200M round
Mt. View, CA-based Coupons.com, which provides digital coupons, has raised $200 million in new equity backing. The company did not name investors, but they’ll show up sooner or later in an SEC filing. It says up to $100 million of the funding will facilitate liquidity for employees and early investors.
Obviously, with Groupon, LivingSocial and a hoard of daily discount deal sites raking in venture backing of well over $1 billion, investors love anything to do with online discounts.
CT-based AdmantX gets $2.8M for semantic page-level analysis
ADmantX has closed a $2.8 million in growth funding from Atlante Ventures Mezzogiorno, the venture capital Fund of Intesa Sanpaolo, an Italian bank. ADmantX sells cookieless tracking technology.
ADmantX offers an advanced semantic page-level analysis that surfaces reader emotions, behaviors, motivations and intentions in order to match ads with similar emotional appeal, without using tracking cookies. This is the first outside funding since ADmantX was spun off last year from Expert System, the leading global provider of semantic software.
ADmantX says it goes beyond relevant SEO and flat keyword-based terms, ensuring brand protection against questionable content for publishers, ad networks and various buy- and sell-platforms. It also incorporates emotional intelligence into the mix, increasing campaign segmentation and targeting for better ad reach and success.
Reston, VA-based App47 tallies $1M first round for mobile app development tools
App47 has raised $1 million in first round funding from Valhalla Partners. It closed the funding in January.
App47 says it delivers enterprise Mobile Application Management tools and intelligence to optimize the mobile user experience and provides a powerful, integrated, lifecycle view of mobile applications and the entire mobile user experience-without compromising the privacy of enterprise data.
Their cloud-based Mobile Application Management solution can be deployed in minutes, providing key analytics and performance data to assist in design, deployment, configuration, and security of mobile applications.
Founders are Chris Schroeder, CEO, and Sean McDemott, who earlier created RealOps, the pioneer in enterprise management Run Book Automation solutions, which was acquired by BMC Software in July 2007.
Schroeder saiys, “Our solution focuses on managing mobile applications, not devices, allowing enterprises to manage and automate highly complex, multi-tired mobility workflows. With App47′s powerful, context-aware tools and deep application intelligence, enterprises can ensure the best possible user experience for the mobile applications and unleash their true business value.”
The way mobile apps are thriving with only a third or so of cell phone users having smartphones bodes well for growth in the industry. One thing that sets mobile apart from the way the Internet developed is that people have been willing to pay for mobile apps from the start. The real question, of course, is how mobile app makers can develop ongoing revenue streams.
Still, we’re betting firms related to mobile apps will be coming out of the proverbial woodwork for the next several years. Any firm that helps developers figure out what works and what doesn’t and why is likely to do well, we suspect.
VirtuOZ gets $7M for intelligent virtual agents
VirtuOz Inc., s provider of intelligent virtual agents (IVAs) for online customer service, today announced that it has raised $7 million in additional funding from existing investors Mohr Davidow, Inventures Group and Galileo Partners to finance growth in the U.S. and E.U.
The company says its intelligent virtual agents offer companies a new channel for contemporary online customer service that delivers the best possible customer experience at one-tenth the cost of traditional channels.
The company processed over 144 million conversations on behalf of our customers in 2010 and with the largest number of live enterprise intelligent virtual agents for Global 2000 companies including eBay, SFR, H&R Block and L’Oreal.
San Diego-based Skinit secures $12M debt financing for customized electronic devices tech
Skinitwhich sells on-demand personalization of electronic devices, and home and automobile products, has closed a $12 million in debt financing from BlueCrest Capital Finance. The funds will be used to expand Skinit’s current initiatives for delivering personalization capabilities to consumers and support the company’s continued growth.
Skinit’s online ordering and customization tools allow consumers to create branded, designed, and personalized electronic device covers.
The growth strategy includes expansion of Skinit’s fully branded ecommerce partner sites and promotional landing pages, as well as wholesale, retail and B2B solutions. It already features an extensive library of licensed artwork from some of the most prominent brands in sports and entertainment including NFL skins and MLB skins, major colleges and universities, Disney, as well as original Skinit designs and works from independent artists.
Virginia-based Three Pillar Global gets $10M for mobile software development services
Fairfax, VA-based Three Pillar Global has received a $10 million investment from Texas-based Nestors Financial.
The company said it will use fhte funds to sclae its operations, expand its global footprint and possibly pursue acquisitions.
Three Pillar Global offers a flexible approach for clients through its innovative Virtual Development Centers that deliver transformative levels of productivity. The company, founded in 2006, has respected and leading customers in media, healthcare, education and financial services
Monday, March 28th, 2011
FAIRFAX, VA – Cyber security firm Global Analytic Information Technology Services has raised $4 million in new equity from a single investor and converted from a corporation to a limited liability company, according to a regulatory filing.
The company assesses and mitigates internal and external cyber-security threats, and provide best practices to optimize and integrate cyber security solutions throughout our customers’ enterprise architecture and infrastructure.
Since it’s founding in 1997, GAITS has focused almost exclusively on the federal community. Its customers include the U.S. Department of Defense, the U.S. armed services and a number of government, defense and intelligence agencies.
The company’s website says it has grown 6,000 percent in less than five years.
TechJournal South is a TechMedia company. TechMedia presents the annual conferences:
Internet Summit: www.internetsummit.com
Digital East: www.digitaleast.com
Digital Summit: www.digitalsummit.com
Friday, January 7th, 2011
It was a fairly busy first week of the year for merger and acquisition activity in the Southeast.
Dell Buying SecureWorks, credit union impact questioned
ATLANTA – DELL Computers said this week it plans to buy 10-year-old, venture-backed Atlanta security firm SecureWorks for an undisclosed price. According to one report, the buy could have an impact on one set of SecureWorks clients, Credit Unions. (See: Dell Talkeover of Secureworks sparks talk of CU Impact).
SecureWorks has more than 2,900 clients. Reports say Dell made a “table-clearing bid” for the company. Other reports say Dell grabbed the firm as it was getting ready to file for an Initial Public Offering of stock with the SEC later in 2011.
North Highland buys Insight Solutions Group
ATLANTA and MINNEAPOLIS — Global consulting firm North Highland is expanding into the Midwest United States with the acquisition of Insight Solutions Group Inc., a Minneapolis-based management consulting firm. The acquisition marks the establishment of North Highland’s twentieth US office.
Financial details were not disclosed.
North Highland is a global, employee-owned consulting firm that delivers strategic business solutions to Fortune 1000 clients, government agencies and non-profits. The firm has 47 offices in the United States,Europe and Asia-Pacific.
GE Intelligent Platforms acquires SmartSignal
CHARLOTTESVILLE, VA – GE Intelligent Platforms has closed its acquisiton of SmartSignal, an analytics software company based in Lisle, Illinois. SmartSignal specializes in providing Remote Monitoring & Diagnostics solutions to the Power Generation, Oil & Gas and other industrial sectors. Financial details were not disclosed.
Virginia-based GEIP is a global provider of software, hardware, services, and expertise in automation and embedded computing.
Virginia-based Rivermine acquired by Emptoris
FAIRFAX, VA - Rivermine, which develops software to help customers manage their telecom expenses, has been acquired by Massachusetts-based Emptoris, which sells supply and contract management tools. Financial details were not disclosed.
Rivermine employees joined Emptoris. CEO Mark Logan is now president of the Emptoris Rivermine division.
Rivermine manages more than $6 billion in communications spending a year for clients who include Chubb Insurance, Ford, Fannie Mae, and IKON Office.
Maryland-based Sourcefire acquires Immunet for $21M
COLUMBIA, MD – Sourcefire, which develops network security tech, has acquired Silicon-Valley based Immunet, which sells cloud-bade anti-malware software, in a deal worth up to $21 million.
Sourcefire paid $17 million in cash at closing, and will pay as much as $4 million more over the next 18 months if Immunet meets product delivery milestones.
Sourcefire said it plans to keep all of Immunet’s fulltime employees. It said the deal expands its security offerings to include a cloud-based platform.
Travel Leaders Group buys Virginia-based Vacation.com
Alexandria, VA – Minnesota-based Travel Leaders Group, a company that manages corporate travel, has acquired Alexandria-based Vacation.com. Financial details were not disclosed.
TLG says the move bolsters its offerings in the North American travel market. Vacation.com sells cruises and vacations through agencies.
Maryland-based National Office Systems buys East Coast Storage Solutions
GAITHERSBURG, MD – National Office Systems, which sells storage and information management systems, has acquired Connecticut-based East Coast Storage Solutions to expand in the Northeast. Financial terms were not disclosed.
East Coast has been a major player and our competitor in Connecticut,” said Joe Alvarez, NOS principal. “Their arrival will expand our world-class products and services even farther into the Northeastern United States, especially the Connecticut and New York markets.”
Wednesday, December 8th, 2010
FAIRFAX, VA – Fairfax-based ManTech, which sells technology to the US government, has acquired Costa Mesa, CA-based MTCSC Inc., for $75 million.
MTCSC is a provider of Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) systems integration, cyber security and network engineering solutions to U.S. government customers.
ManTech funded the $75 million acquisition from existing cash balances.
“MTCSC was looking for a strategic partner that could enhance their growth trajectory and provide liquidity for shareholders,” said Paul Weisbrich,senior managing director of McGladrey Capital Markets’ Aerospace, Defense and Government Services Group.
McGladrey Capital Markets initiated the transaction, led the negotiations and acted as exclusive financial advisor to MTCSC.
“MTCSC will become a part of ManTech’s Systems Engineering and Advanced Technology group, and will help to expand ManTech’s program exposure in the C4ISR segment.”
GeoEye acquiring SPADAC for $6 million
DULLES, VA – GeoEye, Inc. (Nasdaq: GEOY), a provider of superior satellite and aerial-based geospatial information and services, announced today that it has agreed to purchase 100 percent of the stock of SPADAC Inc., a geospatial predictive analytics company, for $46 million in cash and stock.
Founded in 2002, SPADAC provides geospatial predictive analytic solutions to over 40 customers in key markets of defense, intelligence and homeland security. SPADAC’s revenues are forecasted to be approximately $27 million in 2010.
Thursday, July 8th, 2010
FAIRFAX, VA – Salient Federal Solutions, which sells IT and engineering services to the federal government, has closed on a $135.9 million offering, according to a regulatory filing. The financing pertains to to an acquisition by an “indirect, wholly-owned subsidiary,” according to the filing with the U.S. Securities and Exchange Commission.
Last week Saleint acquired California-based SGIS, a $101 million federal services provider, but the filing does not specify that as the acquisition.
Paul Fishbin of Hancock Capital Management is one of the principals named in the filing.
Saleint was founded in 2008 with $100 million in equity backing from Frontenac Co.
Contact Tech Journal South Editor and writer Allan Maurer: Allan at TechJournalSouth dot com.
Friday, July 2nd, 2010
RESTON, VA, CHARLOTTE, NC, LOUISVILLE, KY, & ATLANTA – The jobs recovery may be slow, but mergers and acquisitions in the Southeast continue to proceed with most days seeing one or more.
ComScore acquires Nexius products division
RESTON, VA – comScore Inc. (NASDAQ: SCOR) , a leader in measuring the digital world, today announced that it has acquired the products division of Nexius, Inc., a leading provider of mobile carrier-grade solutions that deliver network analysis focused on the experience of wireless subscribers, as well as network intelligence with respect to performance, capacity and configuration analytics. Financial details were not disclosed.
“Our acquisition of the products division of Nexius expands the value we are able to bring operators through the actionable intelligence required to optimize customer experience,” said Dr. Magid Abraham, comScore president & CEO.
Zayo Group Closes its Acquisition of AGL Networks
CHARLOTTE, NC & ATLANTA – Zayo Group, a Colorado-based provider of bandwidth infrastructure and network-neutral colocation services, has closed on its buy of AGLN, which provided dark fiber bandwidth infrastructure services in Atlanta, Phoenix and Charlotte.
The deal adds approximately 850 route miles of owned fiber footprint and 270 buildings to Zayo’s Network.
Boeing Acquires Argon ST
FAIRFAX, VA – Boeing Co. is acquiring Fairfax, VA-based Argon ST, a developer of command, control, communications, computers, intelligence, surveillance and reconnaissance and combat systems in an all-cash deal valued at $775 million.
Boeing says the acquisition will help it meet new requirements of the U.S. Defense Dept., which is investing in high-tech intelligence equipment rather than big guns and armor as it battles terrorist groups and insurgents.
The acquisition will likely be completed by the end of third quarter 2010, subject to the tendering of a majority of outstanding shares of Argon ST and regulatory approval.
Lightyear Network Solutions to Acquire SouthEast Telephone Inc.
LOUISVILLE, KY, Lightyear Network Solutions, Inc. (OTCBB: LYNS), a provider of telecommunication services to large, medium and small businesses, as well as residential consumers throughout North America, has agreed to acquire the business assets of SouthEast Telephone Inc., a Kentucky firm.
Southeast had previously filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the Eastern District of Kentucky, Pikeville Division.
SE Acquisitions will pay up to $560,000 in cash to Seller for Seller’s administrative and priority expenses; $4,000 in cash for each of Seller’s employees who are not offered employment with the Company; and, an aggregate of 200,000 shares of Company common stock, par value $0.001 per share, to Seller’s equity holders.
SE Acquisitions will also assume approximately $3,765,000 of Seller’s secured debt and expects to provide a minimum of $2,000,000 in investment capital, post closing, to fund working capital needs and network expansion.
Friday, May 7th, 2010
FAIRFAX & ARLINGTON, VA – CGI Group Inc. (NYSE: GIB; TSX: GIB.A), a provider of information technology and business processing services, is acquiring Stanley Inc. (NYSE:SXE) , a provider of information technology services and solutions to U.S. defense, intelligence and federal civilian government agencies, through a cash tender offer of $37.50 a share, which values the deal at about $1.07 billion.
The per share purchase price represents a premium of 23.3 percent over Stanley’s 30-day volume weighted average stock price and 38.3 percent over its 60-day average.
The transaction will be funded from CGI’s cash on hand and existing credit facilities.
This strategic acquisition brings additional scale to CGI’s U.S. operations, which will account for nearly half of CGI’s global revenue.
The acquisition marks CGI Federal’s expansion into the U.S. defense and intelligence markets. With this acquisition, CGI Federal joins a select list of Federal IT contractors with more than $1 billion in revenue.
Friday, April 2nd, 2010
FAIRFAX, VA – ManTech International Corp (Nasdaq: MANT) says that, subject to market conditions, it plans to raise approximately $200 million in aggregate principal of senior unsecured notes due 2018 in a private placement to eligible purchasers.
ManTech sells IT, cyber security, and other technology services to to the federal intelligence community and government agencies.
ManTech intends to use the net cash proceeds of this offering for general corporate purposes and to support future growth through acquisitions. As an interim measure the company will pay down existing funded debt on its $350 million revolving credit facility, which will remain in effect following the offering .
Tuesday, February 2nd, 2010
FAIRFAX, VA – Three Pillar Global, parent of Three Pillar Software Inc., which sells product outsourcing solutions, has raised $3.4 million in a mixed securities offering to support its recent merger with LeverPoint. LeverPoint focuses on dual shore software development. The company disclosed the raise in a regulatory filing.
Three Pillar sells product management, product development, and product infrastructure services through a array of packaged offerings.
Its services include product management, information architecture, product road mapping, software design, application programming and integration, systems engineering, database administration, systems administration and more.
Founded in 2006 and based in Fairfax, Three Pillar is one of Northern Virginia’s fastest growing compaies. It has a number of federal customers, including the U.S. Marine Corps, Air Force and DISA, and others.
We noted that the LeverPoint merger is the latest in a series for Three Pillar. It acquired CloverLeaf Consulting in September last yearand merged with Firefly Database Solutions and acquired PKR Internet early in 2009.
The company disclosed the raise from five investors in a filing with the U.S. Securities and Exchange Commission.