Agami Systems Inc. once again turned to boutique Chicago investment bank Advanced Equities Inc. for bridge financing in a $45 million Series C financing, bringing total investment in the storage server and systems developer to $85 million.
The deal calls on Advanced Equities' growing expertise in forming syndicates of investors for late-stage venture deals to tide companies over in the absence of a strong public market for initial offerings. Agami will use the funding for sales and marketing as it seeks to boost market share in the network attached storage and storage area network market.
With a blue-chip list of prior investors, including New Enterprise Associates, Kleiner Perkins Caufield & Byers, Apex Venture Partners, Alta Partners, TIF Ventures and Duff Ackerman Goodrich, and new strategic investment from Japan's Itochu Corp., the company probably could have scored a decent valuation with investment from a traditional venture investor. But Kleiner Perkins first went to Advanced early in its practice of working with venture firms to fund a $5 million round in 2003.
That
deal was credited by Advanced
founders Dwight Badger (right) and Keith Daubenspeck with saving Agami, after some unfortunate bubble-related deals and a class-action from investors had it on the brink of closing its doors. Since then, the firm has redoubled efforts to put money from high-net-worth individuals into late-stage venture deals affiliated with top Sand Hill Road firms. In addition to the Agami financing, Advanced has recently led deals for solar energy company
Suniva Inc., infrastructure software startup
Teneros Inc. and mobile content developer
Motricity Inc. - Clifford CarlsenSee May 2005 story from The Deal newsweeklySee Feb. 5 story from Tech ConfidentialSee Feb. 4 story from Tech ConfidentialSee October 2007 story from Tech Confidential
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