ProfitLine Secures Expansion Financing
FTVentures and Menlo Ventures Raise Stake In Growing Telecom Expense Management Leader
San Diego, CA - February 22, 2007
ProfitLine, the leading provider of outsourced telecom expense management (TEM) solutions, has secured a $7 million expansion financing with FTVentures and Menlo Ventures. Proceeds from this financing will be invested in the next generation of ProfitLine's integrated source-to-pay offering for wireline and mobility telecom expense management.
"ProfitLine recognized the need for an integrated wireline and mobility TEM solution more than eighteen months ago, and stepped forward with our acquisition of a mobility Business Process Outsource (BPO) provider," said ProfitLine President and Chief Executive Officer Stephen T. Hundley. "We continue to evolve our solution based on real experiences managing more than 100,000 mobile devices. This funding will accelerate the development of our next generation TEM solutions for the integrated BPO services the market is demanding."
Hundley said that both the market and the ProfitLine team recognize the position of industry leadership the company has assumed with a series of major contract wins in 2006. "We are very pleased to have solid investor and board support in driving our strategic agenda forward," continued Hundley. "This further investment by our existing partners underlines the exciting progress we have made in establishing ProfitLine as the industry leader in TEM. This capital will help us continue to enhance our services within our Total Lifecycle Management (TLM 360) model."
"ProfitLine is quickly becoming the outsourcing partner of choice in telecom expense management as the firm is uniquely positioned to meet the complexities that today's large enterprise faces," said Eric Byunn, FTVentures Partner and member of ProfitLine's Board of Directors. "ProfitLine has been extremely effective in targeting key industry verticals, such as the financial services industry, where the company successfully completed major client contracts with AIG Technologies and Countrywide." "The TEM industry is now universally accepted as being at the "right time" in the "right place" to answer a pressing need for large enterprises," said Douglas C. Carlisle, Managing Director Menlo Ventures. "ProfitLine's management team, technology and experienced staff are leading this industry's growth, and Menlo is proud to partner with them in delivering the most comprehensive services for managing important and costly telecom resources."
FTVentures provides capital to growth companies to finance organic expansion, recapitalizations, build-ups and buyouts. The firm invests in software and business services companies that derive value from its unmatched Global Partner Network, which includes 37 of the world's leading financial institutions. FTVentures' Global Partner Network provides the firm with a unique vantage point into the business driven IT and operating challenges of the global enterprise. Founded in 1998, FTVentures currently has $624 million under management with offices in San Francisco and New York. For more information, please visit www.ftventures.com.
About Menlo Ventures
Since 1976, Menlo Ventures has helped visionary leaders turn technical innovations into world-class companies. Many of these companies have become leaders in their respective markets, including LSI Logic, UUNET Technologies, Xros, Cyras Systems, Hotmail Corporation, Ascend Communications and Clarify. We currently focus our investments in the areas of communications, software, Internet infrastructure, semiconductors, storage and computer hardware. Menlo Ventures is a dedicated team of investment professionals with a broad range of experience in technology, marketing, sales and general management. We have built a reputation as highly skilled and ethical investors who can help new companies define strategy, recruit the best management talent, forge industry partnerships and corporate alliances and attract investment capital.
ProfitLine is the leading provider of outsourced telecom expense management solutions for large enterprises and government agencies. The company's source-to-pay solutions manage the entire telecom lifecycle for both wireline and wireless. ProfitLine's seasoned telecom experts combine deep domain expertise and Six Sigma principles with intelligent technology to deliver clients substantial savings, operational efficiencies and enhanced visibility to mission critical telecom assets. Our technology enabled Business Process Outsourcing (BPO) solutions allow clients to offload a non-core competency and gain robust business intelligence so they can better navigate today's complex telecom landscape. Based in San Diego, ProfitLine was founded in 1992 is a GSA Schedule 70 contract holder, whose internal processes are audited based on SAS 70 standards on an annual basis by an outside auditor. For more information, please call Lisa Maerowitz at 858.202.1203.
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