(Cascadia Capital represented Purcell Systems in this transaction)
PURCELL SYSTEMS CLOSES $16.6 MILLION OF FUNDING
4-Year Old, Profitable Company Closes Substantial Round to Expand Globally and Enter New Markets
May 17, 2004 (Liberty Lake, WA) -- Purcell Systems, the leading provider of customized, modular outdoor power cabinetry that provides wireless carriers with increased uptime and equipment protection, today announced that it has successfully completed a $16.6 million financing ,led by new investor Weston Presidio, a premier private equity firm with over $2.3 billion under management. This financing will allow Purcell Systems, a profitable company which has experienced impressive revenue growth over the last three years, to accelerate customer growth in its core markets including wireless, wireline and cable markets, as well as to expand into new global markets.
"With little outside investment, Purcell Systems has been able to become profitable, sign four of the six largest wireless carriers as customers and build a healthy sales pipeline in less than four years," said James McElwee, general partner at Weston Presidio. "It is apparent through the company's customer traction and revenue growth that Purcell is successfully targeting a multi-billion dollar market that is critical to communications network uptime and availability. The role outdoor telecommunications cabinets play in the wireless market also applies to wireline service providers and cable companies. The management team has soundly executed on its business plan to date and we look forward to helping with the company's expansion into new markets and regions."
In conjunction with the financing, Mr. McElwee and Sean Honey of Weston Presidio will be appointed to Purcell System's Board of Directors. Additionally, Cascadia Capital, a national investment bank specializing in a number of market sectors including information technology and communications, assisted Purcell Systems in securing the financing.
Purcell Systems will use the funding in part to enhance key growth business areas including new customer acquisition and support in the wireless, wireline and cable markets; to expand Purcell's reach globally; and to continue development of its modular outdoor battery cabinets including the most recent product line of SiteSupport™ battery cabinets.
SiteSupport cabinets feature a scalable design and unmatched footprint reduction and allow wireless carriers to utilize existing DC power with additional battery capacity, or integrate new DC power with battery support to achieve extended runtime goals.
"Both Purcell Systems' impressive growth to date and its vertical and global expansion strategy were extremely attractive to the capital markets," said Michael Butler, chairman and CEO of Cascadia Capital.
"We are pleased that Weston Presidio chose to invest in Purcell and the continued growth of our business," Pete Chase, president and CEO of Purcell Systems. "This financing marks a major corporate milestone as we will not only continue to develop our line of products, but we will in turn increase sales in our major markets while seizing the opportunity to expand globally. We are confident this financing will rapidly accelerate Purcell's growth and expansion and help propel us to a leadership position."
About Weston Presidio Capital Management
In existence since 1991, Weston Presidio has over $2.3 billion under management and has invested in over 75 portfolio companies in a variety of industries including consumer products and retail, manufacturing and industrial, media, service, and technology. Representative investments include Digital Theater Systems, Fender Musical Instruments, Hunter Fan, JetBlue Airways, Mapquest, Nebraska Book Company and
Vitria Technology.
About Cascadia Capital
Cascadia Capital (www.cascadiacapital.com) offers corporate finance, mergers & acquisitions, strategic advisory services, and capital market services to companies across North America. Cascadia Capital serves emerging growth and middle market companies, both public and private. The firm focuses on the following sectors: Information Technology, Communications, Security & Defense, Healthcare, and Industrial & Consumer.
About Purcell Systems
Purcell Systems is addressing the $1.5 billion wireless networking equipment market with the industry's most advanced and cost-effective modular, outdoor enclosure solutions to help ensure Wireless Broadband Communications uptime and protection. By working directly with service providers, tower companies, and construction firms, Purcell Systems provides "exact-fit" site solutions that support a myriad of power and environmental requirements. Purcell Systems supports the customer goal of rapidly building their network at as low a cost as possible, while offering fanatical customer service. As a profitable company, Purcell is rapidly becoming the leading provider of equipment protection solutions for the telecommunications industry.
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