RadioFrame snares $28 mln in new funding
NEW YORK (Reuters) - Privately held RadioFrame Networks, which is backed by investors such as wireless pioneer Craig McCaw, has attracted another $28 million in debt and equity backing, bringing its total funding to $100 million.
Chief Executive Jeff Brown said in an interview with Reuters on Tuesday that the biggest portion of the new investment round comes from hedge fund Plainfield Asset Management, a new investor in the wireless technology company that sells equipment to improve indoor cellular coverage.
Brown, who plans to use the cash for sales, marketing and research and development, did not disclose the amount from specific investors or break down the proportion of debt and equity in this round.
He said RadioFrame, which has been profitable in the past from selling equipment for offices, would not make a profit this year as it invests heavily to bring a consumer product to market around the end of the year or beginning of next year.
The latest funding was also backed by existing investors such as Ericsson Venture, the venture arm of telecom equipment maker Ericsson (ERICb.ST), Ignition Partners, VantagePoint Venture Partners.
Investors involved in earlier funding rounds include COM Investments, McCaw's investment company and the U.S. venture arm of Samsung Electronics Co (005930.KS), as well as Innovacom, a investment arm of Orange, the mobile operator owned by France Telecom SA (FTE.PA). Nextel Communications, now owned by Sprint Nextel (S.N), has also invested in RadioFrame.
(Reporting by Sinead Carew)
