Investment to back
new product
innovation and
international
expansion
BOSTON — January
8, 2010 —
Carbonite®, a leading
provider of online
backup, announced
today that it has
closed a mezzanine
round of funding
that provides
approximately $20
million of new
capital. This brings
the total financing
raised by the
Boston-based company
to approximately $67
million. While the
company does not
disclose specific
terms, the valuation
of the mezzanine
round is a major
step up from
previous rounds.
Crosslink Capital
of San Francisco led
this round with
participation from
all existing
investors, including
Menlo Ventures,
Performance Equity,
and Common Angels
Fund. Gary Hromadko,
venture partner at
Crosslink, will join
the Carbonite board
of directors.
"We're focused on
delivering the best
online backup
service in the
world," said
Carbonite CEO and
Co-founder David
Friend. "This
investment enhances
our ability to
continue to lead
innovation here in
the US and to expand
our offerings to new
foreign markets."
Carbonite
launched its online
backup service for
PC owners in 2006.
In the last year,
Carbonite expanded
its product offering
to include a
Macintosh solution
and Remote File
Access, which
enables any
Carbonite user to
access backed up
files from any web
browser.
Additionally, the
company has forged
distribution
agreements with
Seagate and Sun
Microsystems.
"Carbonite is the
leading independent
vendor in a market
with enormous
potential," said
Hromadko. "The
management team has
experience and
depth, has executed
on its business
model and delivered
excellent results
each year since the
founding of the
company. Almost
anyone in the world
with a computer and
a broadband
connection needs a
service like
Carbonite. The
mezzanine round that
we led will help the
company to
accelerate its
growth in the US,
expand into new
markets, and
introduce new
products. Carbonite
certainly didn't
need to raise more
cash at this point,
but this is the kind
of business and
management team that
Crosslink likes to
be involved with, so
we were very pleased
to be able to make
the investment."
