Optosecurity Announces $15.4 Million Financing
A company developing breakthrough security products that improve the performance of checkpoint security systems and screeners, today announced the closing of its Series B Financing, including $10.54 Million in venture capital from a syndicate of investors led...
QUEBEC CITY, Jan. 29 /PRNewswire-FirstCall/ -- Optosecurity Inc., http://www.optosecurity.com/, a company developing breakthrough security products that improve the performance of checkpoint security systems and screeners, today announced the closing of its Series B Financing, including $10.54 Million in venture capital from a syndicate of investors led by BDC Capital, Desjardins Capital regional et cooperatif, Fondaction CSN and Innovatech Quebec, as well as a $4.85 Million banking facility from National Bank of Canada. Since June 2005, Optosecurity has secured a total of $20.43 Million of financing. The second round of investment announced today will be used for marketing, business development, product development and for preparing scalable manufacturing processes to meet expected wide-scale demand of Optosecurity's new and patented security products, scheduled for launch in 2007.
Eric Bergeron, President and CEO of Optosecurity, said, "Optosecurity has quickly become recognized as a fast-moving innovator, bringing a new intelligence paradigm to the X-ray industry based on a deep understanding of video signal processing, physics and hardware design. We're now preparing to move our products from the lab to the field. The confidence and support of our new and existing investors now positions us to scale our company to meet the tremendous business opportunities that we've identified. Although our first target market is airport checkpoints, our products are also designed to upgrade equipment in other markets -- providing scalable multi-tiered business opportunities without requiring supplementary and costly R&D efforts."
The Honourable John Manley, Chairman of the Board of Optosecurity, said "With our unique technology, we will play a crucial role improving the speed and security of trade and travel, safeguarding prosperity."
Jacques Denommee, Director Advanced Technologies, BDC Capital said, "In today's reality where terrorism is a global concern, Optosecurity offers the potential of making a significant contribution to national security by providing innovative technology solutions."
Luc Menard, Sector Director IT and Telecommunications, Desjardins Venture Capital, said, "Desjardins Venture Capital has a long history of supporting innovative companies developing emerging technology. Our experience, coupled with our Quebec City's office expertise in this sector, allow us to fully appreciate the scale of the business opportunity for investors. Our research into the security market confirmed that Optosecurity's product and business plan were directly on target. We firmly believe improving the performance and extending the life of legacy security technology will be the strategy of choice for Optosecurity customers. Eric and his team have already demonstrated their ability to surpass R&D and business objectives, we're confident that our support will provide them the additional resources to meet the large-scale international demand for their new security products."
"Optosecurity is leveraging a powerful legacy of expertise in optical technology found in Quebec City. Our additional investment demonstrates our confidence in the Optosecurity team and their unique products," said Regent Watier, Fondaction's Head of Investment.
Francine Laurent, CEO, Innovatech Quebec, "Few companies have attracted such widespread attention so quickly -- we believe that Optosecurity has the timely strategy and technology that appeals to partners and customers in need of improved security solutions."
Eric Bergeron, President and CEO of Optosecurity, said, "National Bank of Canada's faith in our business plan and our management team is inspiring. In addition to the supplementary financial resources at our disposal, National Bank of Canada's confidence and reputation will demonstrate to partners and customers that we have passed yet another milestone in our growth."
About Optosecurity products
Optosecurity has developed two products that integrate with legacy X-ray systems to automate threat detection and improve the efficiency of checkpoint security personnel.
The Optosecurity XMS is the world's first inline explosives threat detection system for security checkpoints that interprets standard 2-D X-ray tomography (imagery) to identify containers and their contents, which may be potential threats. The XMS can identify liquids without opening containers.
The OptoScreener is the world's first inline threat detection system that improves the accuracy and efficiency of identifying threat objects at checkpoint security.
The combined systems can be housed in the same unit to upgrade an X-ray checkpoint system for automated and improved detection of explosives and threat objects. They may be quickly deployed with minimal training and require no physical change to checkpoint security infrastructure.
About Optosecurity Inc
Optosecurity Inc. is a venture-funded company developing breakthrough security products. The unique products developed by Optosecurity improve the performance of existing luggage, parcel and cargo screening systems, empowering security personnel to work more efficiently and consistently to detect and identify potential threats, such as dangerous liquids, explosives, guns, knives etc. http://www.optosecurity.com
About The Business Development Bank of Canada (BDC)
BDC is a financial institution wholly owned by the Government of Canada. BDC actively supports the development and growth of Canadian small and medium-sized businesses through its complementary financial, investment and consulting solutions. BDC is one of Canada's Top 100 Employers for 2007.
About Desjardins Capital regional et cooperatif
Desjardins Capital regional et cooperatif is a publicly-traded company founded in 2001 on the initiative of the Desjardins Group. The Company's primary mission is to raise venture capital with a view to fostering the economic development of Quebec's cooperatives and resource regions. Managed by Desjardins Venture Capital, the Company has an authorized capitalization of $1.325 billion and assists companies and cooperatives throughout Quebec.
http://www.capitalregional.com - http://www.dcrdesjardins.com
About Fondaction
Fondaction, established in 1996, invests in development capital in order to maintain and create jobs in Quebec. Its net assets, which totalled $475 million as of November 30, 2006, come from the retirement savings of more than 65,000 shareholders. Fondaction acts as the financial partner of 100-odd businesses and partner and specialized funds. It focuses, in particular, on companies that engage in participatory management in the social economy (employee-controlled enterprises, cooperatives, and so on) and on organizations that emphasize the environment.
About Innovatech Quebec
Innovatech Quebec is a $125 M early stage venture capital fund owned by the Government of Quebec. Innovatech invests in emerging technology-intensive companies in Information technology and telecommunications, biotechnology, and advanced applied technologies. http://
About National Bank of Canada
National Bank of Canada is an integrated group which provides comprehensive financial services to consumers, small and medium-sized enterprises and large corporations in its core market, while offering specialized services to its clients elsewhere in the world. The National Bank offers a full array of banking services, including retail, corporate and investment banking. It is an active player on international capital markets and, through its subsidiaries, is involved in securities brokerage, insurance and wealth management as well as mutual fund and retirement plan management. National Bank has more than $116 billion in assets and, together with its subsidiaries, employs 16,972 people. The Bank's securities are listed on the Toronto Stock Exchange (TSX: NA).
http://www.nbc.ca
http://www.optosecurity.com
SOURCE Optosecurity Inc.-0- 01/29/2007
CONTACT: Mark Scott
Senior Advisor
1-866-281-3240 or +1-514-402-0272,
mscott@optosecurity.com /
http://www.optosecurity.com
http://www.bdc.ca
http://www.capitalregional.com
http://www.dcrdesjardins.com
http://www.innovatechquebec.com
http://www.fondaction.com
http://www.nbc.ca
