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Atlanta tops “Most Frugal Cities” list, Charlotte, Raleigh, Tampa in top ten

Wednesday, January 19th, 2011
Atlanta skyline
Atlantans print out more savings coupons and seek them out on mobile devices more than those in other cities.

Attention, shoppers: Atlanta residents are saving more money than you are. Or at least, they’re printing out more money-saving coupons, according to the “Most Frugal Cities” list compiled by Coupons.com. Tampa, Florida came in second on the list, while Charlotte, NC was six and Raleigh ten, and Nashville, TN, landed at seven.

Atlanta also heads the list of cities where people use mobile devices to tap coupon deals.

We think this information is likely interesting to the social deals companies, such as Groupon and LivingSocial, as well as to Internet and digital marketers in general. It also points to where people are looking for deals online and where the use of mobile devices to aid shopping is trending.

It’s interesting that the South and Midwest dominate these lists, while the Northeast and far West cities show up much further down.

Atlanta tops for second year

For the second year in a row, Atlanta took the top spot on the ‘Most Frugal U.S. Cities’ list, according to the 2010 Savings Index released today by Coupons.com, a California-based Web destination for coupons and savings. On average, regular users of Coupons.com in Atlanta printed more than $1000.00 dollars in coupon savings from the site in 2010. That is almost twice as much as during 2009, when they printed $531 in savings.

Tampa cashed in with coupons and maintained its position as the city with the second most savings. On average, regular users of Coupons.com in Tampa printed $863 in savings.

The South is a mega-saver: more than one-third of the top 20 frugal cities are in the Southern region of the United States. In addition to Atlanta and Tampa, other Southland cities on the list include Charlotte (#6), Nashville (#7), Raleigh (#10), Oklahoma City (#13), Miami (#13) and Dallas (#14).

Once again, Ohio is the country’s most frugal state. The Buckeye state is represented three times on the ‘Most Frugal U.S. Cities’ list – Cincinnati (#3), Cleveland (#8) and Columbus (#19).

North Carolina is Ohio’s biggest challenger, climbing the penny-pinching ladder with two cities in the top 10: Charlotte and Raleigh.

For the first time it was raining green in the Pacific Northwest as Seattle (#18) joined the list. Seattle is the only city on the West Coast that made the cut.

Nationwide, more than $1.2 billion in savings was printed or saved to loyalty cards from Coupons.com and the Coupons.com network during 2009.

The Top 20 couponing cities are below.

2010 Rank Change Since 2009 City State Savings Index
1 Atlanta GA 997
2 Tampa FL 569
3 Cincinnati OH 497
4 Saint Louis MO 420
5 Minneapolis MN 329
6 ↑ 1 Charlotte NC 303
7 ↓ 1 Nashville TN 291
8 Cleveland OH 289
9 Pittsburgh PA 250
10 ↑ 1 Raleigh NC 235
11 ↓ 1 Kansas City MO 233
12 ↑ 3 Washington DC 207
13 ↓ 1 Miami FL 202
14 ↑ 4 Dallas TX 198
15 ↓ 2 Oklahoma City OK 198
16 ↓ 4 Boston MA 192
17 Denver CO 170
18 ↑ 5 Seattle WA 153
19 ↑ 1 Columbus OH 147
20 ↓ 1 Wichita KS 146

Table 1: Top 20 Frugal U.S. Cities

Most On-the-Go Frugal U.S. Cities

Super-savers are tapping into savings via mobile apps for their cell phones, including Coupons.com’s Grocery iQ and the Coupons.com mobile apps.

When it comes to saving on-the-go, the citizens of Atlanta have the most frugal fingertips, based on use of the Coupons.com apps according to the Index, which is reflected in the city’s top position on the Most On-the-Go Frugal Cities list in Table 2. The rest of the South is also smart when it comes to cellular savings. In fact, the South is home to 10 cities represented on the top 20 cities using mobile apps to access, browse, print and save coupons.

“More and more, people are taking advantage of coupons using mobile devices,” comments Pavini. “People are not just clicking for coupons from their computer, they are accessing them on-the-go and even at the supermarket.”

Some cities have a higher propensity to access coupons via mobile phones. For instance, savers in Oklahoma City, New Orleans, Las Vegas and Philadelphia are quick to look to their mobile device to maximize savings and advance on the On-the-Go list relative to their position on the ‘Most Frugal U.S. Cities’ list.

While they’re on the couponing wagon, Minneapolis, Cleveland and Seattle missed the mobile train: these cities ranked high on ‘Most Frugal U.S. Cities’ list, but each moved down several pegs on the On-the-Go list.

Top 20 Most On-the-Go Frugal Coupon Cities are below.

2010 Rank City State Savings Index
1 Atlanta GA 906
2 Tampa FL 531
3 Saint Louis MO 490
4 Cincinnati OH 374
5 Oklahoma City OK 363
6 Dallas TX 282
7 Charlotte NC 280
8 Pittsburgh PA 246
9 Tulsa OK 241
10 Miami FL 238
11 Minneapolis MN 235
12 Washington DC 232
13 Nashville TN 226
14 Raleigh NC 222
15 Wichita KS 219
16 Kansas City MO 214
17 New Orleans LA 198
18 Cleveland OH 196
19 Denver CO 177
20 Memphis TN 165

Table 2: Top Frugal U.S. Cities – Mobile

Paid search bounced back in 2010 with holiday season boost

Tuesday, January 18th, 2011

ATLANTA – More signs that the economic recovery got a boost from a better than expected holiday season: paid search spend in the United States bounced back with 18.5% growth year-over-year in 2010. Q4 showed impressive gains, increasing +35.5%  year over year (YoY) with December leading the quarter at 44.8% YoY growth, according to Atlanta-based searchignite. The company says 2011 is also expected to be a strong year for search spending.

The Q4 holiday season indicated improved consumer sentiment, with AOV up 31.3% YoY compared to a 13% decline in 2009.

These findings come from a report released today by SearchIgnite, a provider of performance marketing technology and services, managing more than $1 billion in media for some of the world’s largest advertisers and agencies, including Chico’s, La Quinta, E*TRADE and more.

Other notable findings in the report:

  • The retail vertical reported significant increases in search spend in Q4 (+36.6% YoY)
  • Q4 saw a significant increase across all underlying metrics, including spend (+35.3% YoY), clicks (+20.6% YoY) and click-through rates (+17.9% YoY).
  • Google continues to gain on YaBing, capturing 82.6% of Q4 advertising spend, while YaBing fell to 17.4% share.

“2010 proved to be a great year for search advertising as the search market recovered from the downturn seen in 2009,” said Roger Barnette, CEO of SearchIgnite.

“Even more promising is the revival of consumer spend throughout the year and the strength of Average Order Values in Q4. We expect 2011 to be a strong year for search and online advertising overall.”

Download complete report


Georgia-based Amendia starts $5M round with $450K for medical devices

Friday, January 14th, 2011

AmendiaMARIETTA, GA – Amendia Inc., a company that works with surgeon partners to develop minimally invasive, implantable medical devices, has raised $450,000 of a round targeted at $5 million, according to a regulatory filing.

The company is a custom medical device developer and distributor. It already offers a number of specialized medical devices.

According to the company website, it has an experienced team of application engineers with multiple years of experience and a state of the art facility with which to manufacture its custom devices. The devices are manufactured under a “Done-in-One” concept utilizing cyber factory conditions, eliminating the cost and need for employees on a 2nd and 3rd shifts. Its facility is lights-out (fully automated) and is capable of running 24-7.

The company disclosed the current mixed securities offering in a filing with the US Securities and Exchange Commission.

Khush sings a funding tune for music making apps

Monday, January 10th, 2011

Prema Gupta, co-founder of Khush singing into a smart phone.

Prema Gupta, co-founder of Khush singing into a smart phone.

ATLANTA – Khush, a startup we profiled in TechView Atlanta and here, has raised an undisclosed amount of funding from the early-stage seed and incubator fund in Mt. View, CA,  500 Startups, Georgia Tech’s ATDC Venture Lab, and angel investor Yee Lee.

Khush has developed an artificial intelligence technology that helps people make music. It’s iTunes LaDiDa  app, available for $2.99, will add backup music and rhythm to a song someone sings into their phone.

The company’s demo videos have garnered more than 65 million views on YouTube.

Its app has been downloaded 270,000 times since May.

The company told TechCrunch it plans to launch new apps in coming months.

M&A Update: Secureworks, Rivermine, SmartSignal, more

Friday, January 7th, 2011

SecureworksIt 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.”

UNC Chapel Hill ranked best value by Kiplinger’s for 10th straight time

Tuesday, January 4th, 2011

UNCCHAPEL HILL, NC – Kiplinger’s Personal Finance magazine ranks the University of North Carolina at Chapel Hill the best value in American public higher education for a “remarkable” 10th time in a row.

Kiplinger’s started ranking the best values in public universities in 1998; Carolina has been number-one every time. The ranking appears in magazine’s February issue hitting newsstands Tuesday, Jan. 4.

Kiplinger’s editors say their top 100 public campuses deliver “a stellar education at an affordable price.”

The universities of Florida, Virginia and the College of William and Mary ranked second, third and fourth, respectively, followed by the University of Maryland (College Park), Binghamton University, the State University of New York (SUNY) Geneseo, and the universities of Georgia, Wisconsin (Madison), and Washington. Other UNC system schools making the list were N.C. State, 15th; UNC-Wilmington, 27th; Appalachian State University, 35th; UNC School of the Arts, 48th; and UNC-Asheville, 58th.

Kiplinger’s rankings story, “Best Values in Public Colleges,” focuses on how the global economic downturn has forced sweeping and likely permanent changes in U.S. public higher education because of state budget cuts and reduced federal funding.

“The takeaway for soon-to-be matriculating students: Look for schools that deliver an outstanding, affordable education in good times and bad,” Kiplinger’s story says. “The University of North Carolina at Chapel Hill, ranked Kiplinger’s number-one best value for public colleges and universities for a remarkable 10 times running, is a prime example.

“Carolina’s admission rate remains among the lowest on our annual list; its students are among the most competitive; and its in-state cost, at $17,000, is not much higher than the average price ($16,140) for all public universities. For students who qualify for need-based aid, the total price for this top-tier university drops to an average of $7,020.”

About two-thirds of the Kiplinger’s ranking is based on measures of academic quality including SAT or ACT scores, admission and retention rates, student-faculty ratios, and four- and six-year graduation rates. Then Kiplinger’s ranks each school based on cost and financial aid. Factors include total cost for in-state students (tuition, required fees, room and board, and estimated book expenses); the average cost for a student with need after subtracting non need-based grants (not loans); the average percentage of need met by aid; and the average debt a student accumulates before graduation.

For the full report see: Kiplinger’s Personal Finance Magazine, Best Values in Public Colleges for 2010-2011

M&A update: Teradata buying Aprimo for $525M, SciQuest acquiring AECsoft

Wednesday, December 22nd, 2010

TeradataATLANTA – Teradata Corp. (NYSE:TDC), which sells data warehousing and analytics, has agreed to buy Aprimo, provider of cloud-based marketing software, for about $525 million.

Combining these visionary companies positions Teradata as a leader in Integrated Marketing Management, Marketing Resource Management, and Multi-Channel Campaign Management, providing customers an end-to-end solution available in SaaS and on-premise environments,” said Mike Koehler, president and chief executive officer of Teradata.

Teradata says The Integrated Marketing Management (IMM) business is a growing, $5 billion sector and is emerging as a critical focus for businesses.

SciQuest acquring AECsoft in $13M deal

CARY, NC – SciQuest (Nasdaq:SCI), which sells software as a service for electronic procurement, is acquiring on-demand procurement and supplier services firm AECsoft USA and its Chinese affiliate in a deal worth $13 million.

If AECsoft meets performance milestones, it could earn an additional $4 million from the deal.

SciQuest launched an initial offering of stock earlier this year as it went public for the second time in the life of the company. It is widely viewed as one of the Research Triangle areas success stories.

7 network security trends headed our way in 2011

Monday, December 20th, 2010

LancopeATLANTA – Nework security is on just about everyone’s mind as 2010 ends. Nework security expert Adam Powers, CTO of Atlanta-based Lancope suggests the following trends as insight into what to expect in 2011.

1.       IT Consumerization and the Internal Threat – the arrival of consumer devices in the corporate network environment is changing the way we think about security the corporate backbone. Perimeter-based defenses such as firewalls and inline intrusion prevention (IPS) aren’t enough anymore. Corporations must think about how they will deal with smartphones, MiFi devices, and other consumer-oriented mobile devices.

2.       Rise of Social Media – It’s probably obvious by now but the emergence of social media applications, such as Facebook, have introduced an entirely new attack surface on which attackers can focus their energies.

3.       Utilities Finally Being Targeted – The arrival of Stuxnet has come as a major wake-up call to utilities, especially those dealing with the NERC-CIP compliance. As utilities move more and more of the SCADA infrastructure to IP, the need for improved security increases tremendously.

4.       Information Leakage and the Ensuing Damage to Company Reputation – As Stuxnet shows, security is almost always event-driven. The WikiLeaks fiasco has brought out two major issues in terms of network security: 1) leaked proprietary information can cause incredible damage to the organization’s reputation and 2) DoS attacks actually can create a major problem in terms of availability of critical aspects of the business (see “Operation Payback ” and attacks against WikiLeaks).

5.       “HTTP is the new TCP” – Web 2.0 technologies are changing the way application developers bring their products to the market. Almost all new applications are making use of sophisticated HTTP-based communication channels all of which run of TCP port 80 or 443. The movement of most apps to HTTP has created a significant issue for traditional technologies (such as firewalls) that rely on port numbers to apply policy.

6.       Smartphones and Other Advanced Mobile Devices – In addition to the existing operating systems running on desktops and laptops, IT staff must now also deal with the increasingly sophisticated operating systems found in smartphones (Windows Phone 7, Android OS, iOS, BlackBerry OS, etc)

7.       To Cloud or Not to Cloud – Virtualization and the notion of moving critical business processes into a cloud-based platform remains one of the bigger issues facing the modern CIO/CISO.

Lancope is a privately held, venture-backed company headquartered in Atlanta, Georgia. It sells the StealthWatch System for flow-based network performance and security monitoring.

Previously on TechJournal South:

Ten biggest cyber-security threats for 2011

Cracks in cybersecurity reveal gaps in our defenses

Earthlink acquiring One Communications for $370M

Monday, December 20th, 2010

EarthlinkATLANTA – Earthlink Inc. (Nasdaq: ELNK) has agreed to acquire One Communication Corp. for $370 million, which includes payment of approximately $285 million of One Comm net debt. One Comm stockholders have the right to elect to receive the net merger consideration in the form of cash or EarthLink common stock.

One Comm’s shareholders will retain liability for all costs relating to One Comm’s pending litigation with Verizon New York Inc.  The merger has been approved by the Boards of Directors of both companies and the stockholders of One Comm.

One Comm, with corporate headquarters in Burlington, Massachusetts, and operational headquarters in Rochester, New York, is one of the largest privately held, multi-regional integrated telecommunications solutions providers in the United States.

With approximately 1,500 employees, One Comm serves approximately 113,000 small and mid-sized business customers in 17 states across the Northeast, Mid-Atlantic and Upper Midwest, including the major metropolitan markets of Boston, New York, Philadelphia, Baltimore and the District of Columbia.

EarthLink plans to integrate One Comm into its newly established EarthLink Business division, which currently consists of products and capabilities of its former New Edge Network, Deltacom and EarthLink Business Solutions divisions.

After the closing of this transaction, EarthLink Business will operate a nationwide IP network with underlying fiber assets in 30 of the top 50 MSAs in the country. The combined fiber network will span approximately 28,000 route miles across 27 states, with 923 collocations, 55 IP and circuit-based switches and 68 metro fiber rings.  With the addition of One Comm, EarthLink will have nearly 3,500 employees nationwide.

Atlanta-based Discovery Health Record Solutions tallies $2M financing

Monday, December 13th, 2010

Discovery HealthATLANTA – Discovery Health Record Solutions, which sells customized information management services in the healthcare, insurance and legal arena, has raised a $2 million equity round, according to a regulatory filing.

The company’s majority owner is Greenwich CT-based Silverhawk Capital. Silverhawk’s David Scanlan, James C. Cook, Mark Demetree, all hold board seats. Silverhawk also has offices in Charlotte, NC. The company disclosed the financing in a filing with the US Securities and Exchange Commission.

Discovery Health, founded more than a decade ago, services release of information requests for hospitals, clinics and doctors in more than 30 states. The requests come from  healthcare, insurance, government or legal entities.

A significant responsibility of health care professionals is to satisfy requests for medical records, and release patient information to authorized internal and third-party requestors. This process is regulated and monitored to protect confidentiality. Moreover, the ROI function is an integral part of HIPAA compliance.

Email TJS Editor Allan Maurer: Allan at Techjournalsouth dot com.

Atlanta’s Celtaxsys names Dr. Michael Hanley CEO, chairman

Friday, December 3rd, 2010

Dr. Michael Hanley

Dr. Michael Hanley

ATLANTA – Celtaxas Inc., a Georgia-based drug discovery start-up, has named Dr. Michael Hanley CEO and chairman.

Dr. Hanley has served on both the Scientific Advisory Board and Board of Directors of Celtaxsys since 2007. Celtaxas is focused on discovery and development of therapeutics to treat inflammation via “immunoregulators” that help activate and aim immune cells.

It’s a real plus for a drug discovery start-up to have someone with Dr. Hanley’s experience in founding start-ups and in managing drug discovery. The life sciences field is so regulated that experience can make all the difference in whether a company stays focused and develops treatments that can weather the arduous US Food and Drug Administration approval process without costly sidetracks and delays.

Dr. Hanley brings more than 20 years of managerial experience in the international life science industry including drug discovery, product development, and production. He was most recently the Chief Scientific Officer for Amylin Pharmaceuticals where he was responsible for discovery research and preclinical development.

From 1981 to 1997, Dr. Hanley held faculty positions at Imperial College, London, the Medical Research Council Laboratories, Cambridge, and the University of California at Davis, where he was Professor of Biological Chemistry. From 1997 to 2003, he was a senior consultant for healthcare investors in the venture capital and banking communities and for biotechnology companies such as Cell Therapeutics, Zymogenetics, Elan Pharmaceuticals, and Chiron.

Dr. Hanley has founded several start-ups, such as Resolvyx Pharmaceuticals and Psylin Neurosciences, and is currently on boards of Aileron Therapeutics, Metabolic Solutions Development Company, Isogenica, and Pieris. He received a bachelor’s degree in Biochemistry and a Ph.D. in Molecular Biology from the University of California, Berkeley.

TJS Editor/writer Allan Maurer: Email Allan at TechJournalSouth dot com.

Atlanta’s Arbor Pharmaceuticals closes on $34.8M for pediactric drugs

Friday, November 12th, 2010

Arbor PharmaATLANTA – Atlanta-based Arbor Pharmaceuticals, a pharmaceutical firm specialized in the pediatric market has closed on a$34.8 million financing.

The financing included a $17.5 million investment in the form of Series B Preferred Stock led by Signet Healthcare Partners. The remainder of the financing was in the form of a term loan provided by several of the investing parties. Also participating in both the Series B equity investment and the loan were existing Arbor shareholders, JW Asset Management, and ARCH Healthcare Fund, which are led by Jason Wild and Allen Chao respectively.

Jim Gale, Managing Director of Signet Healthcare Partners added, “Arbor Pharmaceuticals has grown tremendously in the past year. We expect them to continue this impressive growth rate for the foreseeable future. This infusion of capital will enable Arbor to acquire other products positioning it to become a leading specialty pharmaceutical company.”

Arbor currently markets three products for varying otic conditions including XYLAREX, ZINOTIC and NEOTIC, and also markets PEDIADERMT HC COMPLETE KIT for atopic dermatitis, FLUORADAY for fluoride supplementation, and RHINARIS and SALTAIRE for nasal hygiene.

Tampa-based Tribridge closes growth financing

Friday, November 5th, 2010

TribridgeTAMPA, FL – Tribridge, a national IT services and business consultancy based in Tampa, has raised growth capital from private equity firm from LLR Partners. The amount of the investment was not disclosed.

Focus, a national middle market investment banking firm providing merger, acquisition, divestiture and corporate finance services, arranged the transaction.

Tony DiBenedetto, chairman and CEO of Tribridge was the winner of the Ernst & Young 2009 Florida Entrepreneur of the Year Award in technology.

Founded in 1998, Tribridge is a national IT services and business consultancy dedicated to helping customers become more productive, profitable, competitive and secure.  From software selection and implementation to infrastructure design and support, Tribridge sells both on-premise and cloud computing solutions for CRM, ERP, web portals and other core business systems.

Tribridge has more than 2,000 customers throughout the United States and was named the Worldwide Microsoft Dynamics Partner of the Year in both 2008 and 2010. The company has offices throughout the US, including in Atlanta, Orlando, Miami, and Charlotte in the Southeast.

“Tribridge is a natural fit for LLR Partners. Because of their past investment history, LLR Partners is very familiar with IT services companies,” said Manan Shah, partner and co-leader of the Software and IT Services Group at FOCUS. “Their strategic partnership will provide the necessary human capital and financial capital to continue Tribridge’s acquisition program.”

We’ll keep an eye on the US Securities and Exchange Commission filings for the amount of the investment.

Cbeyond acquires MaximumASP, Aretta in deal valued at $40M

Thursday, November 4th, 2010

cbeyondATLANTA - Cbeyond Inc. (NASDAQ: CBEY), a provider of IT and communications services to 55,000 small businesses across the country, has acquired the assets of  MaximumASP and its affiliated companies, as well as the outstanding stock of privately held Aretta Communications in a combined cash deal valued at $40 million.

MaximumASP provides cloud services such as managed virtual servers and dedicated servers, and Aretta Communications provides cloud services such as cloud PBXs (private branch exchange) and SIP (Session Internet Protocol) trunking.  Both companies target small- and medium-sized businesses throughout the U.S.

“The acquisition of MaximumASP and Aretta Communications is an important step forward for Cbeyond’s business,” said Jim Geiger, chief executive officer of Cbeyond.  “We believe these acquisitions will provide significant growth opportunities, leverage our existing channels of distribution, and expand our innovative technology and expertise.”

Cbeyond offers more than 30 productivity-enhancing applications including local and long-distance voice, broadband Internet, mobile, BlackBerry, broadband laptop access, voicemail, email, web hosting, fax-to-email, data backup, file-sharing and virtual private networking.

Atlanta biotechs Inhibitex, Cardiac Regeneration nab federal grants

Wednesday, November 3rd, 2010

InhibitexATLANTA – Inhibitex, Inc. (NASDAQ: INHX) has been awarded approximately $489,000 in grants under the Qualifying Therapeutic Discovery Project  Program. This program was created under the Patient Protection and Affordable Care Act of 2010 to provide tax credits or grants representing up to 50 percent of eligible qualified investments in therapeutic discovery projects during tax years 2009 and 2010.

Inhibitex was awarded the grants for FV-100, which is in Phase II clinical development for the treatment of shingles, and INX-189, a nucleotide polymerase inhibitor in Phase 1b clinical development for the treatment of chronic hepatitis C infections.

Cardiac Regeneration Technologies has  received notification from the U.S. Internal Revenue Service (IRS) that it was approved to receive a grant in the amount of $244,000 for CRT’s investment in an unprecedented myocardial regeneration therapeutic discovery project. In July 2010, the company applied for the grant under the Qualifying Therapeutic Discovery Project.

Atlanta-based ExamWorks raises $164.8M in IPO

Thursday, October 28th, 2010

ExamWorksATLANTA – ExamWorks Group Inc. priced its shares at the low end of its $16-$18 range and raised $164.8 million in its initial public offering of stock on the New York Stock Exchange, where it will trade under the symbol “EXAM.”

Earlier this year, the company closed on a $32 million equity raise.

The company’s portfolio of services include medical assessment programs designed to meet the specific needs of first-party insurers, attorneys, municipalities and third-party administrators pertaining to automobile, short-term and long-term disability, group health, liability, no-fault and workers’ compensation claims.

The current service offerings include: independent medical examinations, peer reviews, file and radiology reviews, physician and hospital bill reviews, medical bill repricing and settlement negotiation services and related special services.

In July 2009, ExamWorks bought IME Software Solutions, the makers of IME Centric. IME Centric is deployed in nearly 80 Independent Medical Examination and Review companies throughout the United States and Canada.

ExamWorks has acquired a substantial roster of companies since 2008.

The company conducts over 122,000 independent medical examinations annually. The corporate headquarters are located in Atlanta, Georgia and New York, New York with regional family company offices throughout the country.

Rollcast Energy closes $203M financing for NC biomass project

Monday, October 25th, 2010

Rollcast Energy, wheat

Biomass from plants is a source of clean energy

CHARLOTTE, NC & BARNSVILLE, GA – Rollcast Energy Inc. has closed project financing for Piedmont Green Power,  its first greenfield biomass power project.

The terms of the financing include an $82 million construction and term loan and a $51 million bridge loan related to the treasury grant.  In addition, Atlantic Power Corporation, which owns approximately 60 percent of Rollcast, will provide the equity for the project, making an equity contribution of approximately $75 million for substantially all of the equity interests in the Project.

Zachry, the Project’s EPC contractor, will be released to begin construction immediately and Rollcast expects the project to be operational by the fourth quarter of 2012.  Delta Power Services, a subsidiary of Babcock & Wilcox, will provide operations and maintenance services and an affiliate of Rollcast will be the Project’s asset manager.  The power from the project will be sold to Georgia Power under a long-term power purchase agreement.

Piedmont Green Power is a 53.5 MW biomass plant located in Barnesville, GA, approximately 70 miles southeast of Atlanta.  The Project was developed and will be managed by Rollcast.  Construction of the Project is expected to generate more than 300 jobs and, once completed, will provide 27 full-time jobs during operation.  The Project will utilize 500,000 tons of woody biomass annually, 100 percent of which will come from the local region.

With biomass energy projects starting to come online, we should start getting a better idea of how they will fit into the US energy mix soon. Georgia and North Caroina, with their abundant biomass availability, have been particularly active in developing biomass energy projects.

EcoSMART near close on $6.72M equity raise

Monday, October 25th, 2010

EcoSMARTALPHARETTA, GA – On the heels of closing on a $2 million investment from Greenmont Capital Partners, which TechJournal South reported last week, EcoSMART, a company creating safe pesticides, has received $6.02 million of a $6.72 million equity raise from eight investors, according to a regulatory filing.

The company’s proprietary pesticide products derived from natural plant oils. The active ingredients in EcoSMART’s products are unique, synergistic blends of essential oils, many of which are classified GRAS (generally recognized as safe) by the U.S. Food and Drug Administration and approved as direct food additives.

The company disclosed the raise in a filing with the US Securities and Exchange Commission, which names Michael Derosa of PA-based Element Partners; John Shields of Greenmot; James Peteras, of Ohio-based Early Stage Partners; Edward Wilson of Alphareeta-based Cordova Ventures; and Stoddard Wilson from Boston’s RockPort Capital, all directors, as principals, along with William O’Neil.

Backing from such a diverse range of venture investors suggests the company is a pretty good bet to make money. Generally, research shows, people prefer to buy environmentally safe products.

Georgia-based Effcon MXR nabs $522K of targeted $3M raise for glaucoma drug

Thursday, October 21st, 2010

MARIETTA, GA – Effcon MXR, a company developing a once-a-day version of a drug used to treat glaucoma, has raised $552,000 of a targeted $3 million raise, according to a regulatory filing.

The company, founded a year ago, received the funds from five investors, according to a filing with the US Securities and Exchange Commission.

It is developing a one time a day reformulation of methazolamide, which treats glaucoma and other intraocular pressure disorders.

The company apparently does not have a web site.

SEBIO names life science firms presenting at its Investor Forum

Wednesday, October 20th, 2010

SebioATLANTA – Southeast BIO (SEBIO), a regional nonprofit organization dedicated to fostering the growth of the Southeast’s life sciences industry, has named the best life sciences deals in the Southeast, as determined by a Selection Committee comprised of regional and national venture capitalists.  These companies, both early- and later-stage, will participate in the upcoming SEBIO Investor Forum being held on November 3-4, 2010 at the Ritz-Carlton, Buckhead in Atlanta, Georgia.

Those companies chosen for the EARLY/Stage event are seeking their first rounds of venture capital and/or angel investment. During the Investor Forum, the companies will participate in an advisory session led by active early-stage investors.  The MAIN/Stage presenting companies have generally completed at least one round of institutional financing and will each have the opportunity to make a ten minute pitch to the full conference audience.

Since 1999, companies that have participated in the SEBIO Investor Forum have raised over $2.5 billion in public and private offerings.

SEBIO has also selected four finalists for its Fourth Annual BIO/Plan Competition, a program developed to promote the creation of new, fundable life science companies based in the Southeast. Working closely with technology transfer offices and entrepreneurs throughout the region, the competition brings forward opportunities from leading Southeastern research universities and research centers. The BIO/Plan Competition received forty applications earlier this year from all across the Southeast.

SEBIO 2010 MAIN/Stage Companies
Avancen MOD Corporation (Mt. Pleasant, SC)
EGEN, Inc. (Huntsville, AL)
Intelliject, Inc. (Richmond, VA)
InVasc Therapeutics, Inc. (Tucker, GA)
RFS Pharma, LLC (Tucker, GA)
Visioneering Technologies, Inc. (Alpharetta, GA)

SEBIO 2010 EARLY/Stage Companies
Ariste Medical, LLC (Memphis, TN)
Atlanta Catheter Therapies, Inc. (Atlanta, GA)
AXOXY Laboratories, LLC (Gainesville, FL)
Bioshape Solutions, Inc. (Research Triangle Park, NC)
CvergenX, Inc. (Tampa, FL)
Endomimetics, LLC (Birmingham, AL)
GeneCapture, Inc. (Huntsville, AL)
Grace Innovative Technologies, Inc. (Mobile, AL)
HemoSonics, LLC (Charlottesville, VA)
NeurOp, Inc. (Atlanta, GA)
Physcient, Inc. (Durham, NC)
Restorative Physiology Group, LLC (North Charleston, SC)
Scytel Research (Chapel Hill, NC)
Vascular Pharmaceuticals, Inc. (Cary, NC)
Vivo Biosciences, Inc. (Birmingham, AL)

SEBIO 2010 BIO/Plan Finalists:
FibroTherapeutics, Inc. (Medical University of South Carolina)
NRG Biotechnology (Morehouse School of Medicine)
Reactive Diagnostics, Inc. (Georgia Institute of Technology)
SPECTROPATH Medical (Emory University)