Recourse Technologies Raises $20 Million; Canaan Partners Leads Third Round of Financing for Security Software Provider
PALO ALTO, CA -- (PRNewswire) -- Nov. 27, 2000 -- Recourse Technologies", Inc., an innovative leader in Internet and network security, announced today it has received $20 million in a third round of funding led by Canaan Partners. Funding came from new investors, Canaan Partners and Intel Capital, as well as from current investors, Doll Capital Management (DCM) and Menlo Ventures. The funds will be used by Recourse to expand its product development, sales, and marketing initiatives for its full line of covert security infrastructure products.
"We will use the funds from these exceptional investors to establish Recourse as a leader in the security space," said Frank Huerta, president and CEO of Recourse Technologies. "We are very pleased with the continued funding from our initial investors and newest investors. Investments in Recourse, along with the market growth in Internet security, have driven the company's success and performance to date."
"With internet security revenue growth estimated to grow 29% to $5.1 billion in 2000, Recourse's unique products position the company to take advantage of this rapidly expanding market," said Chris Christiansen, vice president of IDC's Internet Security program.
Deepak Kamra, general partner at Canaan Partners, is joining the company's board of directors. "We believe that security will be a key requirement for the continued rapid growth of the Internet," he explained. "Recourse provides a proven set of solutions that is unique in this market space."
"In the market today, corporations are realizing that firewalls are just not sufficient to provide even the minimal level of security to run a first-class operation. The cost of being hacked is too large for businesses around the world. Recourse is the clear leader in covert security technology that represents the next generation of protection against security intrusion," said David Chao, managing general partner at DCM. "We believe that Recourse is fast becoming the standard in this rapidly growing security segment with its products already deployed in many Fortune 500 companies."
"Businesses realize that e-commerce is mission critical. Traditional security solutions don't work for ever changing processes and increasingly complicated attacks," said Sonja Hoel, general partner and managing director at Menlo Ventures. Recourse Technologies' ManTrap and ManHunt go beyond traditional security methods in helping organizations' networks operate without incident."
Recourse's growing customer base includes ISPs, financial services, high profile Internet companies, and government entities. Recourse recently launched ManHunt" and ManTrap" 2.0, unrivaled covert security infrastructure products that protect trusted resources, gather attack data, determine the attack source, and prevent damage from both known and unknown attacks.
Recourse Technologies builds products to trap and track hackers. The company provides covert security software that enables businesses on the Internet to contain, control, and respond to malicious computer attacks. Covert security identifies, observes and responds to attacks, taking away the attacker's advantage and providing organizations with time and information so they remain in control. Recourse Technologies ManHunt" and ManTrap", are complete covert security infrastructure products that protect trusted resources, gather attack data, determine the attack source, and prevent damage from both known and unknown attacks. Recourse Technologies, Inc. is headquartered in Palo Alto, Calif. For more information, please visit the Web site at www.recourse.com or contact Recourse Technologies or phone: 1-877-786-9633.
About Doll Capital Management (DCM)
DCM is a top-performing venture capital firm managing over $1 billion in assets committed to early-stage communications and Internet companies. The firm's Partners, Dixon Doll, David Chao, Peter Moran, Rob Theis, Eric Gonzales, and Tom Blaisdell have many years of operational and company-building experience and have funded some of the world's leading communications and Internet companies such as About.com (Nasdaq: BOUT), Bridge (3Com), ECNet, Foundry Networks (Nasdaq: FDRY), InterNAP (Nasdaq: INAP), IPivot (Intel), UUNet, 2Wire, Mobileum, and Peak XV. DCM's team of professionals leverages its operational experience and extensive network of contacts, including strong relationships with many of the Pacific Rim's leading companies and investors, to help our portfolio companies reach their full potential. For more information on DCM, please visit www.dcmvc.com or call (650) 233-1400.
About Menlo Ventures
Menlo Ventures is a private venture capital partnership providing long-term capital and management support to early stage and emerging growth companies. Menlo Ventures looks for combinations of talented management, superior products or services, and market opportunities that create the potential for exceptional investment returns. In the past 23 years, Menlo Ventures has invested over $700 million in more than 200 companies in the areas of the Internet, communications, software and health care technology. Today, the companies Menlo has funded have a combined market value of over $100 billion. These companies include Infoseek, Hotmail, UUNet Technologies, and F5 Networks. Menlo currently has $1.2 billion under management.
About Caanan Partners
Canaan Partners is a national venture capital investment firm formed in 1987. Canaan Partners specializes in early stage venture capital for Internet, information technology and health care companies. Canaan Partners was an early backer in CommerceOne (CMRC), E.piphany(EPNY)/Rightpoint, Concord Communications (CCRD), Copper Mountain Networks (CMTN), ONI Systems (ONIS), DoubleClick (DCLK), IntraWare (ITRA), Interact Commerce (IACT) and SalesLogix (SLGX) along with dozens of other market-leading companies. For more information about Canaan Partners, please visit www.canaan.com.
About Intel Capital
Intel Capital, Intel Corporation's strategic investment program, focuses on making equity investments and acquisitions to grow the Internet economy, including Internet infrastructure, content and services in support of Intel's strategic interests. For more information, visit www.intel.com/capital.
Recourse Technologies, IDC, Canaan Partners, Intel, Intel Capital, Doll Capital Management, Menlo Ventures are trademarks or registered trademarks of their respective companies in the U.S. and other countries.
Recourse Technologies, Inc., Paula Dowell, 650/565-5907, or Ruder Finn, Krista Butterworth, 719/448-9625,