Wednesday, August 13, 2008

NitroSecurity nails down $10M fourth round

By Mass High Tech Staff

One month after acquiring a Pennsylvania firm, network security company NitroSecurity Inc. reports that it secured a $10 million Series D round of financing from investors led by a Pennsylvania-based venture capital firm.

Portsmouth, N.H.-based NitroSecurity, a developer of information security solutions, received the funding in a round led by NewSpring Ventures, which operates offices in Pennsylvania and New Jersey. Chicago-based First Analysis and Cambridge-based Brookline Venture Partners also participated in the deal, company officials said.

The funding increases investment in NitroSecurity to $30 million. The company will use the capital to fund market expansion through sales, marketing and channel growth, as well as new product development, officials said.

NitroSecurity, founded as D.G.H. Ltd. in 1994, employs 70 workers. It supplies information security solutions to more than 500 enterprises in markets such as health care, education, financial services and retail.

In July, the company acquired Pennsylvania-based software maker RippleTech Inc. for an undisclosed amount. The acquisition came two months after NitroSecurity officials withdrew plans for an IPO, nine months after registering with the U.S. Securities and Exchange Commission.

RippleTech, founded in 1998, developed unified information security solutions. Based in Conshohocken, Penn., the company employed 18 workers, who all joined NitroSecurity following the acquisition.