Redlen Technologies Inc recently raised an additional $2 million in funding. BC Advantage Funds (VCC) made a $1.5 million preferred share investment in the company, with a further $500,000 coming from Redlen shareholders and directors. Headquartered in Saanichton, British Columbia, Redlen is a maker of high-resolution cadmium zinc telluride (CZT) semiconductor materials, radiation detectors and modules for the medical and security imaging industries. In March, the company secured $5.5 million in a round led by Canadian venture capital firm Pangaea Ventures.
BC Advantage Funds Completes Additional Investment in Redlen Technologies
Investment provides critical growth capital for Redlen to accelerate its development of new products and increase its ability to penetrate new markets
North Vancouver, November 20, 2014 – BC Advantage Funds (VCC) Ltd. announced today that it completed an additional $1.5 million preferred share investment in Redlen Technologies Inc.
Redlen is a BC-based company that manufactures and markets high resolution Cadmium Zinc Telluride (“CZT”) semiconductor materials, radiation detectors and modules for the medical and security imaging industries. An additional $0.5 million was raised under the same offering from other Redlen shareholders and directors.
Frank Holler, Chairman & CEO of Advantage, said “We are pleased to lead this equity financing round for Redlen. This investment provides critical growth capital for Redlen to accelerate its development of new products and increase its ability to penetrate new markets. In addition, with this investment, Advantage has now essentially fulfilled its full aggregate investment pacing requirement under the Small Business Venture Capital Act of British Columbia.”
GrowthPoint Capital, Advantage’s financing partner, provided an additional $1,200,000 to Advantage under an amended loan agreement to assist in financing this investment. The loan agreement provides for GrowthPoint to receive a fixed interest rate on the loan as well as additional interest based on the internal rate of return (IRR) achieved by Advantage on the Redlen investment.
BC Advantage Funds (VCC) Ltd. is a venture capital corporation, formed under the Small Business Venture Capital Act (British Columbia), to invest in emerging technology companies in the Province. For more information about Advantage, please visit our website at www.bcadvantagefunds.com
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