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Embotics Secures $8.4M in Financing from VentureLink, Covington, Private Investors
Ottawa, June 12, 2012 – Embotics Corporation, a leader in virtualization and private cloud management, today announced that it has closed $8.4 million in equity financing. Bringing Embotics’ total financing-to-date to $18 million, this latest round includes $2.5 million from VentureLink LP and $2.5 million from Covington Fund II Inc. (Covington), with the remainder of the funds coming from other private investors. Embotics will use the funding to accelerate global sales and marketing efforts, as well as to hire more software engineers.
This mix of pragmatic growth, strategic marketing and sales investments will build upon the momentum of the past year’s 300 percent growth in sales to further strengthen Embotics V-Commander’s leadership position in the private cloud management market.
“We continue to support Embotics because of its proven track record of successfully developing products that address the problems in virtual data center environments,” said Phil Reddon, managing partner of Covington. “Our experience investing in the virtualization sector, along with Embotics’ success in assisting companies with private cloud management, automation and self-service provisioning, make for a smart business and investment partnership between our two organizations.”
“We have a strong belief in Embotics and its virtualization and cloud management technology. Due to the market need for its solutions, we are confident that Embotics’ business will continue to grow,” said Jim Whitaker, managing partner of VentureLink LP. “Embotics’ clear differentiation in cloud management made its business and this opportunity very attractive to us.”
This round of financing comes on the heels of Embotics’ most successful year to date. The company has experienced 300 percent growth in sales over the past year and 220 percent year-on-year growth in new customers, which now include Bell, Deloitte, Cisco, CSC, Dutch Ministry of Defence, MITRE and numerous universities and public sector departments. In addition, Embotics has signed new channel partnerships, including one with Magirus in Europe.
“We are thrilled to continue our partnership with Covington and to begin our new relationship with VentureLink because of their proven success when it comes to supporting technology innovation,” said Jay Litkey, CEO of Embotics. “The significant increase in our sales demonstrates the opportunity that exists in the market. This financing will enable us to match that opportunity with clearly defined differentiation, corresponding sales and an increased engineering team to support new and existing customer opportunities.”
About Embotics Corporation
Embotics provides mid-sized to large IT organizations with a simplified cloud management platform (CMP) that delivers infrastructure-as-a-service with the fastest time-to-value in the industry. Unlike other cloud management solutions on the market, Embotics V-Commander® continuously monitors the virtual data center to optimize the automation, deployment and configuration of IT services. Embotics is headquartered in Ottawa, Canada with offices in the U.S. and Europe, the Middle East and Africa (EMEA) and has a growing network of global partners. To see the product working in a live online demo or to download your free, 30-day evaluation copy of Embotics V-Commander, visit www.embotics.com.
Established in 1994, Covington Capital Corporation is one of Canada’s largest providers of venture capital investment funds. Managing close to $400 million in assets, Covington provides Canadians with the ability to access venture capital investment opportunities via their suite of retail venture capital product offerings. www.covingtonfunds.com.
VentureLink Innovation Fund Inc. has approximately $140 million under management. Its objective is to realize long-term capital appreciation by making debt and equity investments in a diversified portfolio of securities in eligible Canadian businesses and by investing in reserves, including debt instruments, whose returns are linked to the performance of the TSX and the financial services sub-index of the TSX. The Fund gives investors access to a well-diversified portfolio of established companies operating in traditional industries such as financial, manufacturing and service industries as well as dynamic industries like information technology and alternative energy. For more information please visit: www.venturelinkfunds.com.