Madison WI, June 18, 2006 TrafficCast International, Inc., the leading provider of digital traffic data and software for next-generation traffic information services, today announced that it has closed its Series A Round of funding, after raising approximately $2 Million in equity.
The investment was led by two Wisconsin-based investment funds, Phenomenelle Angels Fund I, LP of Madison and NEW Capital Fund LP of Appleton. They were joined by the investment group, Women Angels, of Milwaukee and Florida, and by a syndicate of individual investors. SCIO Corp advised the company in its fund-raising activities.
Further supporting the round, certain debt obligations were converted to equity, including those held by Weather Central Inc., the leading supplier of weather data and production tools to media. TrafficCast International had previously secured a $1 Million line of credit from SVB Silicon Valley Bank. The company has additional debt facilities in place with the State of Wisconsin Department of Commerce.
The funds are primarily earmarked for technology development and for sales and marketing expansion. The close of the Series A Round coincides with the release of the companys signature product Dynaflow: real time speed estimates based on dynamic impact modeling of weather, incidents, construction and events on historic patterns. The company believes these factors set the stage for rapid growth, and anticipates attracting additional institutional funding in a Series B round later this year.
The market for traffic information is evolving rapidly and TrafficCast International has exceptionally valuable IP and patents in place to take advantage of the emerging opportunities, said Joe Hildebrandt, Managing Director of Phenomenelle Angels Fund I, LP. The companys growing revenue trends and market leading research in vehicle probe technology position it well, both for the market and our Funds investment portfolio.
TrafficCast International is well positioned across key distribution channels with a roster of market-leading clients like Yahoo, Google, and the Department of Defense, noted Charlie Goff, General Partner of NEW Capital Fund LP. Our objective is to provide investment in Wisconsin-based companies with distinct competitive advantages in large and growing markets. Were pleased that TrafficCast supports that goal.
With the close of this Series A Round and our lines of credit, TrafficCast International has a strong foundation to expand our technology and services to provide predictive information to travelers, said Connie Li, co-founder and CEO. We are pleased to have found investors who share our vision, and we are confident that their expertise will add considerable value to our team.
About TrafficCast International, Inc. TrafficCast International is the leading provider of digital traffic data, with patented software and predictive models to produce route-specific real-time traffic information and travel time forecasts for traditional and emerging traffic information markets. Privately-held, TrafficCast International is a subsidiary of TrafficCast Inc, and is backed by angel and venture capital investors. Growing revenues derive from distribution channels ranging from portals to fleet logistics to media and the public sector. The company is based in Madison, Wisconsin and has a branch office in Shanghai, China. For more information, see http://www.trafficcast.com
ã 2007 TrafficCast International, Inc. All rights reserved.
TrafficCast International, Inc.
This press release may include "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release include expectations about product development and services provision. Actual results may differ materially from those contained in the forward-looking statements in this press release. TrafficCast International undertakes no obligation and does not intend to update such forward-looking statements to reflect events or circumstances occurring after this press release. Undue reliance should not be placed on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement. TrafficCast International and the TrafficCast logo are registered trademarks of TrafficCast International, Inc. All other names or marks are the property of their respective owners.