Monday, February 9, 2009

Open source firm Black Duck hatches $9.5M funding

By Galen Moore

Black Duck Software Inc. announced today it has received $9.5 million in new financing, including $5 million in equity financing from its existing investors, and $4.5 million in venture debt financing from Gold Hill Capital.

The Waltham-based maker of open-source development plans to use the funds to expand into international markets, according to a statement. In June 2007, Black Duck established a European headquarters in Amsterdam.

Black Duck’s investors include General Catalyst Partners, Fidelity Ventures, Flagship Ventures, Focus Ventures, Intel Capital, SAP Ventures and Red Hat Inc.

In February, 2007, Black Duck closed a $12 million Series C round of funding, led by California-based Focus. At the time the company said it planned to use the funds to strengthen international distribution channels. The latest round of funding brings Black Duck’s total venture funding to $38.5 million.

Founded in 2002, Black Duck’s offering is designed to mitigate legal, security and management challenges associated with the use of open-source software through a hybrid development process that combines open-source software with internally developed and third-party code.