Xiotech Corporation, a provider of data storage systems, completed a private placement of $10m in equity financing as well as secured a new $10m line of credit.
The proceeds will be used to build on the company’s successful Emprise product line and Intelligent Storage Element technology by bringing complementary new products to market in early 2010.
Commenting on the financing, Xiotech President and CEO Casey Powell said “In the current business environment, only the most promising companies and ideas get new funding, so we’re obviously encouraged by the investor support we’ve received.
“We believe the positive reception the marketplace has given the Emprise product line indicates that customers recognize storage systems should be able to largely manage themselves, and should be expandable in increments. They should not require expensive and disruptive ‘forklift upgrades.’ That’s why we’re going to continue to advocate for our storage vision, and this additional funding will help us realize these goals”.
Xiotech is based in Eden Prairie, Minn., and maintains major facilities in Colorado Springs, Colo., and Hyderabad, India.