IP Telephony platform vendor BroadSoft has accepted $10 million in mezzanine equity financing from Meritech Capital Partners. The company will use the funding for corporate purposes, including financing the continued growth of its operations and its expansion of market share in fast-growing regions, including Latin America, Eastern Europe and Southeast Asia.
“In the last two years, we have doubled our staff and expanded our European and APAC operations to ensure the success of our customers,” said Michael Tessler, president and CEO of BroadSoft. “We are well-positioned and leading the way in the network migration trend currently playing out as carriers increasingly begin to switch from traditional telephony systems to IP networks.”
Meritech Capital Partners, a premier late-stage venture capital firm and a new BroadSoft investor, was the sole investor in the $10 million Series D round. Meritech targets late-stage companies with proven and differentiated technology, rapidly growing revenue and seasoned management teams.
“BroadSoft fits our investment style, and is strong across the board-from leadership to execution and product development,” said Mike Gordon, managing director, Meritech Capital Partners. “BroadSoft continues to grow its revenue, expand into and dominate new markets and win service provider customers away from its competitors with its innovative BroadWorks(r) platform. We are excited about investing in BroadSoft’s future as a leader in VoIP applications.”
“This funding from Meritech will fuel BroadSoft’s continued expansion into fast-growing global markets and ensure we maintain the highest level of support services for our increasing customer base,” Tessler added. “We count more than 40 incumbent carriers as customers worldwide, and are also winning smaller, competitive providers that aggressively roll out new BroadWorks-based services, such as our fixed-mobile convergence applications.”