PowerGenix Announces Closing of Series B Financing
November 11, 2004
For Immediate Release
OnPoint Technologies Leads $10 Million Investment Round in Battery Technology Company
SAN DIEGO, California (November 11, 2004) — PowerGenix Corporation, a leading developer of high discharge rate, rechargeable nickel-zinc (NiZn) batteries, announced today that it has completed a second round of financing totaling $10 million. The round was led by OnPoint Technologies, a U.S. Army-backed venture capital firm headquartered in Maitland, Fla., that invests in companies developing innovative energy technologies with potential uses by the Army. This round also included new investor Braemar Energy Ventures and return investors Advent International, Granite Ventures and Technology Partners.
“We have evaluated many companies that are focused on new battery chemistries, and it was clear to us that PowerGenix's NiZn high-density battery technology could radically change the landscape of today's rechargeable battery market,” said Jason Rottenberg, managing director of OnPoint. “The high power density of the PowerGenix battery and the fact that it presents no toxic impact to the environment further widens the potential appeal to the U.S. military.”
“The successful closing of this financing was made possible by the fact that the technology has progressed from the lab into a low cost manufacturable cell design that excites potential customers,” noted PowerGenix's Chief Executive Officer, Dan Squiller. “This infusion of capital will enable us to prepare for wide scale customer sampling programs and the transition to high volume manufacturing.”
“We are very pleased to be taking part in PowerGenix's Series B,” stated Neil Suslak, managing director of Braemar Energy Ventures. “We look for companies having a differentiating technology that translates into a compelling value proposition for customers. We see a tremendous blend of management experience, market altering technology, and crisp business focus in PowerGenix that we believe positions the company for rapid and profitable growth.”
“The reinvestment by Advent International, Granite Ventures and Technology Partners validates their belief in the future of PowerGenix,” Squiller added. “New investment by OnPoint Technologies and Braemar Energy Ventures will no doubt assist us in capturing potential government applications and will bring additional energy storage expertise to the company.”
This combined support now places PowerGenix in a position to expand its focus on business growth and over the next few months, the company plans to greatly enhance its production capabilities as well as develop a more robust sales and marketing effort. To support these strategic activities, PowerGenix recently hired Chi Yau as vice president of operations and Joe Yeagley as vice president of business development. Yau brings to PowerGenix more than 18 years of experience in operations, including managing factory operations in China. Prior to joining PowerGenix, Yau worked for Lucent Technologies, focusing on new product introductions, technology transfer to contract manufacturers, and supply chain management. Similarly, Yeagley's experience spans more than 16 years in the power industry. Most recently, he served as vice president of global account sales for Powerware Corporation, where he managed a team responsible for supporting enterprise relationships with large multi-national Original Equipment Manufacturers (OEMs).
For more information on PowerGenix's innovative battery technology, visit www.powergenix.com, or call (858) 547-7300.
Founded in 2000 and located in San Diego, California, PowerGenix has developed and patented a high-energy density, high-cycle life and low-cost nickel-zinc (NiZn) battery that is specifically designed to utilize existing nickel- cadmium (NiCd) manufacturing processes, techniques and equipment, thereby significantly reducing time-to-market, and eliminating costly equipment design steps. With its patented rechargeable NiZn battery technology, PowerGenix is pursuing applications to replace existing NiCd and nickel-metal hydride (NiMH) batteries in the multi-billion dollar rechargeable battery market. For more information, visit www.powergenix.com or call (858) 547-7300.
About OnPoint Technologies
OnPoint Technologies, a strategic private equity firm funded by the U.S. Army, has a mission to discover, invest in and support companies developing innovative mobile power and energy technology at the intersection of the defense and commercial markets. For more information on OnPoint, please visit www.onpoint.us, or call (407) 838-1400.
About Braemar Energy Ventures
Founded in 2003, Braemar Energy Ventures is a leading venture capital firm focused on transformative energy-tech and related companies contributing to global sustainability and combating climate change. Using sector expertise and experience, Braemar aims to be an engaged partner with its portfolio companies to best help them navigate the path to significant global impact. For more information, visit braemarenergy.com or follow @BraemarEnergy on Twitter.
About Advent International
Advent International is one of the world's largest private equity firms, with $6 billion in cumulative capital raised and offices in 13 countries across North America, Europe, Latin America and Asia Pacific. Since its founding in 1984, Advent has been committed to helping management teams build successful businesses by applying its industry expertise, international resources and local market knowledge. Over 130 of Advent's portfolio companies have completed IPOs on major stock exchanges worldwide. Its portfolio companies have raised more than $10 billion through public equity and debt offerings. For more information on Advent International, visit www.adventinternational.com.
About Granite Ventures
Granite Ventures, LLC, formerly H&Q Venture Associates, LLC, is a leading early-stage technology venture capital firm with approximately $650 million in capital under management. Granite Ventures was formed in July 1998 as an independent venture capital firm spun out of Hambrecht & Quist, now J.P. Morgan H&Q. Granite Ventures manages general venture capital funds and corporate funds in partnerships with technology industry leaders Adobe Systems Incorporated and Texas Instruments Incorporated. Granite Ventures has invested in more than 80 companies, including such industry leaders as Digimarc (NASDAQ:DMRC), DigitalThink (acquired by Convergys Systems), InfoGear (acquired by Cisco), InterNAP (AMEX:IIP), NetBoost (acquired by Intel), Nexabit (acquired by Lucent), Siebel Systems (NASDAQ:SEBL), Sierra Wireless (NASDAQ:SWIR), SnapTrack (acquired by Qualcomm), Tumbleweed Communications (NASDAQ:TMWD) and Vignette (NASDAQ:VIGN), among others. For more information, visit www.granitevc.com.
About Technology Partners
Technology Partners is a 20 year-old venture capital firm that manages more than $400 million of investment capital with current investments being made from Technology Partners Fund VII. Technology Partners has invested in dozens of companies in a variety of industries serving principally as a lead investor. The majority of investments are in early stage companies. The firm invests approximately half of its capital in information technology companies and the other half into companies focused on the life sciences. Within information technology, Technology Partners currently focuses on the areas of Cleantech (Energy Technology, Water Technology, and Materials Science) and Enterprise Software. For more information on Technology Partners, go to www.technologypartners.com.