Paladin Capital Group has raised $340 million for Paladin III, a successor to the $235 million Paladin Homeland Security Fund that the firm raised in 2004. Before that, Paladin raised a $208 million fund in 2000.
The Washington, D.C.-based firm plans to continue a multi-stage strategy focused on homeland security, which includes investing in infrastructure IT, antimicrobial solutions and alternative energy.
“Our goal, first and foremost, is to generate the highest possible returns for our limited partners,” says Mark Maloney, co-founder and managing partner. “We continue to do alternative energy and a whole bunch of things around critical infrastructure… We also have companies that provide technologies and software that allow financial institutions to protect themselves from cyber attack from the outside.”
Paladin has already invested $67 million of the new fund, which was marketed with a $300 million cover. Investments include Adapx, which develops digital pen and paper software solutions, DigitalBridge Communications, a provider of broadband services to underserved communities, Luminus Devices, a maker of LED-based solutions for high-definition TVs and other display products, Initiate Systems, a maker of master data management software, Renewable Energy Products, which is building a network of medium-scale biodiesel production facilities throughout the United States, Royalty Pharma, which acquires and holds royalties for various drugs, and Unitrends Security, a provider of disk-based backup appliances for small and medium businesses.
In addition to Maloney, Paladin has six other managing directors: Alf Andreassen, Niloo Howe, Kenneth Minihan, Michael Moniz, William Mulrow and Michael Steed (also a co-founder of the firm).
The firm has made a few personnel changes with the new fund. Colin Bryan was promoted to principal, Lee Buchanan (former assistant secretary of the U.S. Navy for R&D and acquisition) has joined as a venture partner and Winston Hickox (former secretary of the California Environmental Protection Agency) has joined Paladin’s strategy advisory board. —Dan PrimackDEALWATCH: Five recent investments by Paladin Capital Group
We continue to do alternative energy and a whole bunch of things around critical infrastructure… We also have companies that provide technologies and software that allow financial institutions to protect themselves from cyber attack from the outside.
CloudShield Technologies Inc._Security device for fiber-optic networks.
Initiate Systems Inc._Master data management software.
Iptivia Inc._Networking equipment.
OQO Inc._Hand-held computers.
Previstar Inc._Homeland security software.
Note: Investments made from May 30 to Aug. 21, 2008. Source: Thomson Reuters