Purcell Systems Raises $16.6M Series B For Market Expansion
May 17, 2004
Purcell Systems Inc., provider of customized, modular outdoor power cabinetry for wireless broadband communications, has raised $16.6 million in its Series B round.
The round, the company's first institutional financing, was led by Weston Presidio, which provided $16 million. Individual investors contributed the remaining $600,000. Peter Chase, president of Purcell, said the company has been profitable since mid-2002, but raised this round in order to expand into the wireline and cable areas, as well as into international markets.
"Right now our base of success has been in wireless communications and things have been going great guns for us there," he said. The company is developing a similar set of applications that will address the wireline market.
Chase anticipates Purcell's revenue for 2004 will reach $46 million, more than double the company's 2003 revenue of $21 million. Based on the company's financial success, Chase said it is mulling the idea of an IPO. "It's definitely come up in conversations as a potential exit strategy," he said.
As a result of the financing, Weston Presidio general partner James McElwee and principal Sean Honey have joined the company's board. Other board members include Chase; Purcell vice president of business development George Thompson; and Dave Curry, president of World Wide Packets.
Chase said Purcell sells directly to four of the six top wireless carriers. The company provides the outdoor enclosure for housing carriers' radio and other wireless networking equipment and also offers installation, upgrades and maintenance. "It doesn't have a lot of sizzle and pop to it," Chase said, though he added that it's necessary in order for customers to focus on their core technology, the equipment, and not have to worry about other details.
Established in January 2000, Purcell raised $1 million from individual investors in a Series A round in May 2002. The Liberty Lake, Wash.-based company has 75 employees and should expand to 100 by year's end.