VC Dealflow: Nov. 7, 2007

Telecom Transport Management

Telecom Transport Management Inc. of Seattle raised $120 million to build out backhaul networks for cellular carriers in several U.S. markets. The deal was led by new investors Columbia Capital of Alexandria, Va., and Battery Ventures of Menlo Park, Calif., and included DCM of Menlo Park and Dallas hedge fund Hillside Capital Management as new investors, as well as previous backers Ignition Partners, Trilogy Equity Partners, Rally Capital and SeaPoint Ventures, all of the Seattle area. The new round gives Seattle-based TTM immediate access to $55 million to continue initial development in two markets in Virginia and expansion into the Minneapolis and suburban Philadelphia markets. It also calls for $65 million in additional capital to fully fund the company in 2008. -- Clifford Carlsen

Innovative Silicon

Innovative Silicon Inc. of Santa Clara, Calif., has closed a $25 million Series C round to expand its engineering and customer support teams. Wellington Partners Venture Capital of Munich led the round, joined by existing investors Austin Ventures of Austin, Texas, Highland Capital Partners Inc. of Lexington, Mass.;, Index Ventures of Geneva and London, and Auriga Partners of Paris. The company's prior round was a $16 million Series B round in June 2005. Founded in 2002, ISI develops intellectual property that enables the production of ultra-high-density memory devices including PCs and handheld computers, game consoles, cellular communications devices and cameras. -- G.W.

VeriSilicon

Santa Clara, Calif.-based VeriSilicon Holdings Co. Ltd. has raised $20 million in Series D funding for its system-on-a-chip, or SoC, platform. The round brings the total amount of venture funding received to $58 million since the company's inception in 2001. The funding was led by China Investment Fund, a business alliance between IBM Corp. and Lehman Brothers Inc. Also participating were VantagePoint Venture Partners of San Bruno, Calif., and existing investors Austin Ventures of Austin, Texas, Sierra Ventures of Menlo Park, Calif., and CID Group of Taipei. The company will use the money for research and development in SoC platforms that use advanced semiconductor technology and to expand its ASIC turnkey operations internationally. VeriSilicon has research and development centers in Santa Clara, Dallas, Shanghai and Beijing. -- G.W.

Software

V.i. Laboratories

Waltham, Mass.-based application security software developer V.i. Laboratories Inc. has raised $8 million in venture capital funding. Investors included Ascent Venture Partners of Boston and Core Capital Partners of Washington, as well as Rockford Capital of Wilmington, Dela. Geoff Oblak from Ascent and Pascal Luck from Core Capital have joined V.i. Labs' board of directors. The company's products protect existing software code from piracy, theft and tampering. V.i. will use the funds to build its staff and for marketing its products. -- G.W.

Internet

Makeover Solutions

New York-based Makeover Solutions Inc. has secured a $7 million financing to expand its online beauty communities for women. Investors included Village Ventures Fund of Williamstown, Mass., Rho Canada of Montreal and Borealis Ventures of Hanover, N.H. Makeover Solutions allows women to "try on" hair styles, cosmetics and accessories in virtual, online makeover sessions. The proceeds will be used for corporate development initiatives, including the acquisition of Toronto-based Approach Infinity Media Corp., its customer base and technology. -- G.W.

Networking

Seanodes

Boston-based Seanodes has closed a $6.5 million funding led by 123Venture of Paris and Galia Gestion of Bordeaux, France. Also participating were new French investors Elaia Ventures and IRDI/ICSO. The capital will be used for research and development, for marketing and sales, as well as for the launch of its shared internal storage software. The technology allows customers to increase storage capacity by reclaiming unused internal disk space within existing application servers and make that capacity available as a high-performance virtualized storage pool. -- G.W.

Wireless

Millennial Media

Mobile advertising startup Millennial Media has secured a $15 million Series B financing that brings total funding in the company to $21.3 million. The funding was led by Charles River Ventures of Boston, joined by existing investors Bessemer Venture Partners of Menlo Park, Calif., and Columbia Capital of Alexandria, Va. CRV's George Zachary has joined the board of directors. The company operates a mobile ad network that provides technology and services to advertisers and agencies wanting to reach consumers through mobile devices. -- G.W.

Kirusa

Mobile services provider Kirusa Inc. of Mumbai has added $3.3 million to its Series C, bringing the total to $13.3 million. The new funds come from Qualcomm Ventures of San Diego, Eastven Partners of Rowayton, Conn., and Erasmic Venture Fund of Bangalore, India. The $10 million first closing came from Helion Venture Partners of Mauritius and Nexus India Capital of Menlo Park, Calif. The capital will be used for global expansion and for R&D activities. The telecom services company, with offices in New Providence, N.J., previously raised an $11 million Series B from Sigma Partners of Boston, Columbia Capital of Alexandria, Va., and Innovacom of Paris. Kirusa's technology enables mobile users to send and receive SMS messages with voice. -- G.W.