Hi Peter and all,
Sorry, I can't let you know (and don't even know myself) the exact amount. Let's just say it would register on your VC-ometer but certainly wasn't a big chuck of cash. We weren't looking to dilute our shares that much (all additional investments are, after all, dilutions to the original shareholders) - just to cement good relationships with strategic customers.
PaulaJ - I echo kdboyce's comment... it's great that you'd take the time to comment with some insight.
I'd guess that it'd be for Fujitsu to get specific on dollars (or not). More info would be interesting of course, if you were wondering. :)
I understand that a private company doesn't lay out its quarterly sales and profits - unless it want to impress people prior to an IPO. But it is quite normal to disclose amounts of equity capital raised.
But you didn't tell us how much Fujitsu has invested in Tensilica.
If it was less than $1 million it hardly registers on the 'VC-ometer' and if it was more than $10 million, well that is a big chunk of cash.
Hi Peter! Good to "talk" to you again. We opened a small strategic round of financing over a year ago because so many of the companies we were working with wanted to invest in Tensilica. We announced in Q2 2009 an investment by DOCOMO Capital, the corporate arm of NTT DOCOMO and Fujistu’s partner on the baseband processor development project. This is a continuation of that round. In addition, two other unannounced Tier 1 System OEM companies in LTE mobile wireless made investments. Tensilica’s original major VC investors – Foundation Capital, Meritech Capital Partners, Oak Investment Partners, and Worldview Technology Partners – are supportive of this strong signal of customer commitment to Tensilica.
Tensilica’s last major VC financing round was 7 years ago, in late 2003. Since then Tensilica has been operating without the need for additional financing. This indicates that we have a strong cash financial position. For example, we added a lot of cash from operations in 2009. We have a strong financial position and expect to continue to grow our business in the coming years. As a private company, it is our policy not to discuss our financials, but I think this will give your readers a strong hint.
Paula Jones - Director, Corp. Communications at Tensilica
Is the investment by Fujitsu a sign of the strength of the Tensilica or of its weakness?
Strength because Fujitsu wanted to share in the profits set to be made by Tensilica -- or weakness because no-one was prepared to bankroll Tensilica except Fujitsu who could not let a key supplier disappear?
The significance of the question depends on the size of the investment, so if anyone knows the amount Fujitsu has invested please get in touch.