Published On April 29, 2012
Cloud computing company Gizmox raises $3.5m
Investment funds IVIC and CIG invested $2.5 million, and current shareholders invested $1 million.
Cloud computing company Gizmox Ltd. has raised $3.5 million at a company value of $26 million. Gizmox shareholder Maayan Ventures Ltd.(TASE:MAYN), which owns 30.4% of the company, announced that investment funds IVIC and CIG invested $2.5 million, and current shareholders, Maayan Ventures, Citrix Systems Inc. (Nasdaq: CTXS) and private investors, including Prof. Arie Scope, invested $1 million.Gizmox CEO Navot Peled, Guy Peled, and Dan Lichtenfeld founded the company in 2007. The company’s Visual WebGui solution converts applications to cloud environments. The company has raised $11 million to date.In its financial report for 2011, Maayan Ventures gave Gizmox a value of NIS 47 million ($13 million) at the end of 2011, half of the company value for the current financing round. Gizmox’s higher company value is due to its $10 million orders backlog for 2012, compared with $1 million in sales in 2011.In the previous financing round ten months ago, Gizmox obtained a convertible loan from Citrix. The current investment includes the conversion of that loan into equity, which means that Gizmox will not have to repay it. Gizmox has close collaboration with both Citrix and Microsoft Corporation (Nasdaq: MSFT).