Mergers & Acquisitions

Mergers & Acquisitions

July 08, 2011

Spring Mountain Capital Becomes Major Investor in Whiptail Technologies, Inc.

A New York-based investment management firm that focuses on alternative asset investing, Spring Mountain Capital, LP (SMC), announced that it led the Series A Preferred Stock financing for WhipTail Technologies, Inc. WhipTail is an independent manufacturer of solid state-storage arrays designed to improve the scalability and performance of applications.

In a press release, Raymond Wong, Managing Director and Head of Private Equity investing for SMC, said, “We believe that WhipTail has set the stage for the accelerated adoption of solid-state storage arrays by offering enterprises the first cost-effective multi-level cell (MLC) NAND flash based storage array to be accepted by the marketplace. As such, this opportunity fits perfectly into our strategy of investing in unique, smaller cap businesses.”

After investing, Spring Mountain Capital and its affiliates have become a majority investor in WhipTail. This financing will be used by WhipTail to speed up the expansion of the company's sales and marketing efforts. New sales team are hired to look after the sales in US and Europe, the development of key strategic partnerships, enhancement of the Company's reseller channels and provisioning of key marketing support to that channel. Accordingly, SMC Managing Directors Raymond Wong, Avi Faliks and Jamie Weston have joined the company's Board of Directors. 

Dan Crain, CEO of WhipTail, said, “Our success to date, and the rate at which we are adding new customers, validates our unique approach to solid state storage technology. Spring Mountain's partnership and investing style has helped us tremendously, as we pioneer new ways to make extremely high speed data storage available to more commercial enterprises around the world.”

Spring Mountain Capital (SMC) was recently in news when it announced the findings of a proprietary white paper, titled "The Relation Between Hedge Fund Size and Risk," that discusses the declining benefits of hedge fund size.

Sujata Garud is a TMCnet freelancer with three years of writing/editing experience and two years of market research experience. As an editor she has covered the IT, electronics, banking, pharma, construction, mining and healthcare industries. To see more of her articles, please visit her columnist page.

Edited by Rich Steeves


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