Roadmap Capital leads $16.5 mln funding of Corsa Technology

Corsa Technology, an Ottawa-based networking hardware provider, has secured $16.5 million in a Series B financing.

The deal was led by Canadian venture capital firm Roadmap Capital. It was joined by Corsa’s existing backers, including Celtic House Venture Partners, BDC Capital and a strategic technology investor, the identity of which was not disclosed.

The investment comes nearly two years after the startup’s launch, which was funded by a $4.2 million Series A round led by Celtic House.

In a statement, the company said it will use the proceeds to grow in its market of software defined networking (SDN), for which Corsa is developing new hardware tools that can deliver “huge increases in performance at a fraction of the traditional cost.”

“Corsa is bringing unique technology to market,” said David Adderley, general partner at Celtic House, in an interview with peHUB Canada. “It is developing a purpose-built switch that can support fully-enabled and secure cloud-based networking far more effectively, and at far less cost, than the alternatives.”

Corsa was founded by a group of entrepreneurs with deep roots in the networking industry. They include CEO Bruce Gregory, a serial entrepreneur who previously headed Extreme Packet Devices, a semiconductor company acquired by PMC-Sierra for $600 million in 2000.

As reported by peHUB Canada last August, Celtic House’s deals have made use of Canada’s growing population of serial entrepreneurs. That is reflected in the firm’s leveraging of relationships with past partners, such as Gregory, and of new partners like Corsa CTO Yatish Kumar, who led the design team at Catena Networks before it was bought by Ciena for $500 million in 2004.

“Partnering with repeat entrepreneurs who are tackling ambitious technology problems is a core focus of our latest fund,” Adderley said.

Roadmap Capital has recently gained profile in the market. Co-founded by Executive Chairman Riadh Zine and CEO and Portfolio Manager Hugh Cleland, it last October led the $20 million follow-on financing of Toronto-based semiconductor company Peraso Technologies.

Earlier this month, Roadmap also backed LiquiGlide, a U.S. developer of slippery coatings technology.