Wednesday, September 7, 2011
RedZone Robotics wins $25M in new venture capital
RedZone Robotics Inc., a Lawrenceville maker of robots that inspect sewer systems, has received $25 million in private equity from a Baltimore-based growth equity firm, the company said Wednesday.
ABS Capital Partners Inc.'s investment will be used to expand the company, including product development, hiring and perhaps establishing RedZone's first office overseas, said Ken Wolf, vice president of sales and marketing.
"Every city in the world is a potential customer of ours," said Wolf. RedZone currently has clients throughout North America, including Alcosan in this region. Through partnerships, it also operates in the Middle East, Singapore and the Pacific Rim.
ABS general partners Bobby Goswami and Laura Witt will join RedZone's board.
The company employs 70 people, including about 10 in an office in San Ramone, Calif. Wolf declined to provide RedZone's revenue figures because the company is privately owned.
Founded in 1987, RedZone was a Carnegie Mellon University spinoff that currently develops robots that inspect and take video of sewer pipes. Armed with information from RedZone's robots, customers can make informed decisions about sewer system maintenance.
Investments in aging wastewater infrastructure in the United States alone will need to increase by at least $150 billion over the next 20 years just to maintain current service levels, without new spending and operations practices, said the company, citing Environmental Protection Agency data.
"It's critical infrastructure, and it's abundant, but it's out of sight and out of mind," said Wolf.
Article courtesy of Pittsburgh Tribune-Review