Ottawa, Canada - April 19, 2005 - Nakina Systems Inc. (“Nakina”), an independent software vendor of multi-vendor security and element management systems for large telecom and data network operators, today announced it has secured US$10 million in Series B funding. The round was led by VIMAC Ventures of Boston and included the participation of EDC Equity, the equity finance arm of Export Development Canada (EDC), as well as existing investors VenGrowth Capital Partners and MMV Financial Inc.
Nakina has completed a series of sales to the U.S. telecom service provider market and has trials in progress with other large network operators in North America. The investment proceeds are to be used for expanded marketing and sales efforts worldwide in addition to accelerated product development.
"Nakina Systems is a shining light in an industry that is undergoing fundamental change,” explained Mark Robinson, Director with VIMAC, a Boston-based VC with extensive investments in start-ups across the Eastern U.S. and Canada. “In developing its products, the company has shown remarkable ability to tap into the pain points of the world’s largest service providers. Currently that means developing software that helps them dramatically reduce their cost of network operations while accelerating their ability to introduce new service offerings.”
Pat DiPietro, Managing Partner at VenGrowth, added: “We welcome both VIMAC and EDC to the family of investment companies lending their strategic support to Nakina. I think it speaks volumes to have both new and existing investors throw their support behind the company by participating in this round. It reinforces my strong belief in the company.”
“Attracting VIMAC and EDC to our existing group of investment partners is a major milestone for Nakina,” said Dave Vicary, President & CEO of Nakina. “VIMAC’s and EDC’s extensive networks in the U.S. and abroad create opportunities for companies like Nakina to speak directly with influential customers and partners around the world. I’m looking forward to working with all of our investment partners in the coming months.”
Nakina’s software applications are used to simplify the management of complex networks consisting of many different vendors’ products. Its suite of software products includes Security Management, automated Network Discovery, Software Delivery, and Backup-and-Restore automation. Nakina will be exhibiting its products and co-presenting with Tier 1 service provider representatives at upcoming industry events Billing & OSS World 2005, TeleManagement World Europe (Nice) 2005, and SUPERCOMM 2005.
About VIMAC Ventures
VIMAC Ventures is based in Boston, is a Venture Capital firm with a focus on IT/Communications and Life Sciences companies located in the Northeastern U.S. and Canada. VIMAC’s IT team has successfully invested and managed over $125 million in prior funds and is currently raising a third IT fund of $150-200 million. VIMAC I investments, comprised of IT investments from 1995 to 2000, today account for over $2 billion of market value. VIMAC II, also known as the Early Stage Fund (ESF), started investing in 2000 and has a uniquely healthy portfolio with three exits as of mid 2004. The life sciences team manages VIMAC Milestone Medica, L.P. http://www.vimac.com/
About EDC
Export Development Canada (EDC) is a Canadian financial institution devoted exclusively to providing trade finance services to support Canadian exporters and investors in some 175 markets, 153 of which are in developing markets. With developing markets offering a wealth of opportunity for Canadian exporters and investors, EDC helps mitigate the associated risks that are typically involved with offshore trade financing. Last year, Canadian business concluded $54.9 billion in export and domestic sales and investments in markets using EDC trade financing services, up 6 per cent over the previous year. EDC Equity, the equity financing arm of EDC, invests private equity and venture capital to facilitate the business expansion and export growth of Canadian companies. Partnering with EDC leverages access to a unique combination of financial tools, expertise, and international networks. http://www.edc.ca/
About Nakina Systems
Nakina Systems is an independent software vendor delivering innovative solutions to network operators worldwide. With a focus on operational effectiveness and network profitability, Nakina Systems’ multi-vendor network and security management solutions accelerate the introduction of new services while reducing operating costs in medium to large scale networks. Nakina’s adherence to network and software standards provides network operators with the flexibility to select and implement best-in-class products, from Nakina Systems and its partners, in existing and next generation networks. http://www.nakinasystems.com/