Tuesday, February 21, 2006

Netifice Raises $35M, Buys Competitor MegaPath

Costa Mesa-based Netifice Communications, a provider of Virtual Private Network (VPN) solutions, has raised $35M in a venture round and acquired competitor MegaPath Networks. The acquisition, which will be structured as a merger, involved an undisclosed amount of stock and cash for the acquisition of MegaPath. Funding for the deal came from Boston Millennia Partners, Columpia Capital, Dolphin Equity Partners, Fidelity Ventures, H.I.G. Capital and Rho Ventures, and also included MegaPath investors Comcast Interactive Capital, Performance Equity Management, Trident Capital, and USVP. The deal is expected to close in April, and according to the companies will bring annual revenues to $125M. Netifice provides IP VPN services for companies. More information »