NEW YORK and MENLO PARK, Calif., -- EPAC Technologies, Inc., a developer of digital printing automation technology, announced the initial closing of an over-subscribed $40 million C round of equity financing, led by Investor Growth Capital, with Menlo Ventures and current investors participating. In conjunction with the financing, Noah Walley, Managing Director of IGC, joins EPAC's board.
EPAC will use these funds to deploy its new generation of automation technology that eliminates the set-up and transaction costs that are part of every manufacturing process. EPAC's current generation of semi-automated production technology supports its customers' $100 Billion in product sales. EPAC has posted 22 consecutive profitable quarters with its industry leading technology.
"EPAC is an extraordinary company," stated Noah Walley. "EPAC solved the age-old problem that consumer demand changes and is often impossible to predict. Instead of ignoring this problem or applying another short lived band-aid, they completely rethought the way the underlying market works. EPAC scientifically developed a far more efficient supply chain, spent six years on basic research on everything from aerodynamics to the static properties of paper, and then engineered the technology to deliver the solution."
"EPAC is one of the few companies we have ever seen where their fortune 500 customers consistently reported realizing larger cost savings than initially promised or anticipated. EPAC already saves its customers tens of million dollars annually, and now will be able to save them hundreds of millions, with their new technology addressing a much larger market," added Walley.
Doug Carlisle, board member and Managing Director of Menlo Ventures, remarked that "EPAC has continued to increase its technology lead, allowing it to deliver a less expensive and faster supply chain, at an unmatched level of precision. EPAC's investment in Research and Development exceeds that of its five largest competitors combined. They are in a league of their own."
"They have a disruptive technology that is destined to produce the biggest breakthrough in book production since moveable type. EPAC's customers wake up every morning with a 20%-40% cost advantage," Carlisle added. "We love to support the one in a thousand companies that can offer their customers such savings."
Mr. Sasha Dobrovolsky, President and CEO of EPAC, announced that he was "delighted and gratified to find another partner, in addition to Menlo Ventures, that has an absolute commitment to delivering a great solution for our customers. Investor Growth also brings a global network that we will leverage for our customers' world wide needs."
"Using EPAC's technology," Dobrovolsky added, "our customers have the most efficient and responsive supply chain in the industry. We will continue to work closely with our customers to develop and apply innovations that enable them to have a sustainable strategic advantage."
About Investor Growth
Investor Growth Capital is a venture capital and private equity advisory group wholly owned by Investor AB, a large industrial holding company and leading shareholder in several multinational companies, including AstraZeneca, Ericsson, and SEB. For almost a century, Investor AB's business concept has been to build best-in-class companies in sectors where the group has a strong knowledge and networking advantage. Investor Growth Capital shares this investment philosophy and leverages Investor AB's extensive global network of companies and senior managers. Investor Growth Capital focuses on investments in growth companies in the IT and healthcare sectors in Europe, North America and Asia.
About Menlo
Menlo Ventures provides long-term capital and management support to early stage and emerging growth companies. The firm looks for combinations of management, market opportunity, products or services that create the potential for an exceptional rate of return. Since its inception in 1976, Menlo Ventures has organized and managed nine venture funds with combined capital of $2.7 billion. Menlo has invested in over 270 companies since its founding.
About EPAC
EPAC develops automation technology for digital printing. EPAC operates on a service model, focusing on the elimination of waste in its customer book and collateral supply chain. This runs from the management of content to the engineering of automated systems. By using EPAC's technology, customers can virtually eliminate inventory and obsolescence. EPAC's technology has already resulted in substantial cost savings for many of the top companies in Silicon Valley. EPAC also currently licenses its first generation technology to partners in Asia and Europe, thus providing customers a global solution.
