Optosecurity closes 2005 with $5.1m venture capital investment
A company developing breakthrough security products for the automated detection of weapons or explosive devices in cargo or luggage, today announced that Fondaction CSN is joining its first round of investment, bringing the total venture capital raised in 2005 to $5.1 Million.
OPTOSECURITY CLOSES 2005 WITH $5.1M VENTURE CAPITAL INVESTMENT;
Company extends first round to Fondaction CSN
Quebec City (QC) - December 8th 2005, Optosecurity Inc., http://www.optosecurity.com/, a company developing breakthrough security products for the automated detection of weapons or explosive devices in cargo or luggage, today announced that Fondaction CSN is joining its first round of investment, bringing the total venture capital raised in 2005 to $5.1 Million.
Optosecurity's products directly address the most difficult challenges facing transport security authorities worldwide - increasing the detection rate of threats and accuracy of cargo and baggage screening equipment, without causing delays of shipments or travel time. The Optosecurity Optically-powered screening product, called OptoScreenertm complements human security teams and existing screening systems by significantly increasing overall accuracy rates and reducing the time required to complete tasks. Optosecurity's new product is based on the Optical Correlator developed by the National Optics Institute (INO), Canada's largest R&D center in applied photonics; Optosecurity obtained the exclusive rights to the Optical Correlator.
“We are happy to welcome Fondaction CSN as a shareholder and investor, and are proud that previous investors took this opportunity to reinvest in our company, thus showing their satisfaction in the progress we've made since May and the trust they have in our future,” said Eric Bergeron, Founder, President and CEO of Optosecurity.
“We have been following the rapid progress of Optosecurity for some time now, and have been impressed by the uniqueness of their approach and the very supportive reaction they received from industry and government players.” said Régent Watier, Fondaction's Head of Investment.
Optosecurity's first round of investment was led by the Business Development Bank of Canada (BDC)'s Seed Investment Group and supported by Venture Capital fund Innovatech Quebec and a group of local private investors. Since its first tranche of investment of May 2005, the company has hired a world-class product development team and has begun to perform tests with Tier 1 equipment vendors and security authorities .
About Optosecurity Inc.
Optosecurity is a venture-funded company that develops breakthrough security products for the automated detection of weapons or explosive devices in cargo or luggage. Optosecurity is located within Quebec City's High-Tech Park and is a technology spin-off of INO, Canada's largest R&D facility in applied photonics.
BDC is a financial institution wholly owned by the Government of Canada. BDC plays a leadership role in delivering financial, investment and consulting services to Canadian small business, with a particular focus on the technology and export sectors of the economy.
Created in 1996, Fondaction invests in venture capital in order to maintain and create jobs in Québec. Its net assets, which stood at $396.4 million as at May 31, 2005, are derived from retirement savings collected from more than 60,000 shareholders. It is the financial partner of about a hundred enterprises and some fifteen partner and specialized funds. It pays special attention to enterprises committed to participatory management, that operate in the social economy (employee-controlled, cooperatives, etc.) and that practice environmental stewardship.
Innovatech Québec 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. It has a diversified portfolio constituted of 55 active investments in private and public companies.
INO designs and develops technological platforms and innovative solutions that incorporate optical and photonics technologies. To date, INO has developed over 2,200 custom solutions for entrepreneurs and industrial customers in the following areas: aerospace, security and defense, biophotonics and life sciences, agrifood, industrial processes, timber, telecommunications, transportation, and the environment.