CXO Systems, which offers visibility software for senior managers, said it has raised $7 million in a Series B round of financing that closed last week.
New investor Ironside Ventures led the up round, while new investor Cisco Systems Inc. participated, as well as previous investors GrandBanks Capital and Kodiak Venture Partners.
The money from the round will be used for sales and marketing and to further develop the company’s existing product.
Malcolm Frank, co-founder and chief executive of CXO Systems, said that the financing should last the company at least for two years and a half, and “hopefully indefinitely.” The company anticipates the Series B round to be the last one. “That’s the current plan,” he said.
Frank anticipates that the company will reach profitability in 2005, depending on how much it invests from the financing. The Waltham, Mass.-based company raised $4.8 million in a Series A round of financing in March 2003.
CXO Systems offers a suite of visibility systems for senior managers, including CEO, chief financial officers and chief technology officers. The suite includes three main applications focused on enterprise risk management, outsourcing management and research.
Frank said that it’s a suite of “first-touch real-time systems,” consisting of integrating information that might be scattered in 20 to 30 places into one single database, and allowing users to see transactions as they are done.
CXO Systems targets companies in financial services, manufacturing, as well as the federal government. It has about 15 customers, including British American Tobacco PLC and CenterBeam Inc.
As a result of the round, William M. Sheehan, general partner at Ironside Ventures, will join the board of CXO Systems, which also includes Lou Volpe, managing general partner at Kodiak Venture Partners; Charles R. Lax, managing general partner at GrandBanks Capital; and Frank.
CXO Systems, which was founded in 2002, currently has 50 employees and plans on adding about 15 employees, mainly in sales and marketing. It has offices in
