Tropic Networks announces $20 million in financing
February 4, 2003--Tropic Networks today announced the completion of financing totaling $20 million (US), based around a conservative plan to cash flow positive.
February 4, 2003--Tropic Networks today announced the completion of financing totaling $20 million (US), based around a conservative plan to cash flow positive. Five existing investment firms participated in the company's third round of financing¿Celtic House Venture Partners (lead investor), Goldman Sachs' Private Equity Group, Kodiak Venture Partners, Crescendo Ventures and the Teachers' Merchant Bank, the private equity arm of the Ontario Teachers' Pension Plan.
This financing round follows Tropic's decision to streamline its business strategy around the metro-DWDM market. Tropic has gained significant traction in this market with its ability to deliver on the promise of true transparent optical networks. Having successfully completed a number of customer lab and field trials, the company has now moved into the full deployment phase. Tropic will use this round of funding to manage demand for its products and solutions, secure strategic alliances and gain deeper market penetration.
"Tropic has demonstrated excellent progress in moving beyond the development stage and securing traction with customers," said Tom Valis, partner, Celtic House Venture Partners. "This round of financing will give Tropic the financial strength to continue managing customer demand and establish strong market leadership."
The TRX-24000 metro-DWDM platform, integrated with wavelength tracker optical layer intelligence technology, was release to general availability in October. The TRX-24000 platform takes ITU grid light from an existing SONET/SDH ADM, switch or router, and transports it across multiple rings while staying in the optical domain for 600 km and beyond. Wavelength tracker technology provides the essential monitoring and failure detection functionality to manage the signal as it travels throughout the network.
"Tropic's vision, team, and technology position them to be a leader in the metro-optical market," said John de Souza, Private Equity Group, Goldman Sachs. "We continue to support them in their growth to a viable standalone business."
Headquartered in Ottawa, Canada, Tropic was founded in May 2000. The company is privately held and venture capital backed.