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Degasoft's $3 million in VC funding to boost Kudos biz

June 26, 2003

LONDON - Degasoft's plan to boost its international sales efforts through an infusion of venture capital money have come to fruition with a $3 million investment from The Venturos Group.

Degasoft, maker of Kudos kiosk software used in remote and interactive terminals, will funnel the new money into expansion of its new London headquarters, an extension of its sales and marketing presence in Europe and improvement of its product, according to president and chief executive officer Thor Ibsen.

Ibsen, who joined the company in April and spearheaded its move from Iceland to London, said he expects to raise at least another $5 million in a second round of funding, though he set no timetable for that event. He said Venturos, a Norwegian firm that invests in technology companies, is an ideal fit for Degasoft.

"To accelerate our efforts, it was clear that an infusion of outside capital was required," Ibsen said. "Working with an experienced VC such as Venturos clearly has key advantages. Having access to Venturos' talent and network was a key factor for us."

Ibsen said that as a result of its investment, Venturos has gained two seats on the Degasoft board and an ownership interest of less than 20 percent. Degasoft is funded through private investors, and the 12-year-old firm does not release its annual revenues. One of its investors is its U.S. distributor, Touchpoint Technology Corp. Degasoft's clients include Ford Motor Co., Jiffy Lube and Virgin Entertainment Group.