Synchronica plc, which provides mobile synchronization and device management solutions, has raised $7 million (3.5 million) in funds, through a placing of new ordinary shares. The money which will be used to accelerate growth in Synchronica's core business.
Synchronica says it will use the funds primarily to strengthen its position in the burgeoning mass market mobile email and synchronisation sector. Synchronica estimates that the number of consumers and prosumers using mobile email will outnumber business users by 2008, and enjoy exceptional growth thereafter.
As well as providing working capital for the business, Synchronica will use the additional funds to strengthen the balance sheet; expand Synchronica's sales function to better handle the strong pipeline of potential customers; invest in product development; increase the numbers of support and pre-sales staff; and continue with its targeted marketing activities.
Synchronica's Mobile Gateway product offers push e-mail and synchronization for the mass market while its Mobile Manager Suite of products provides mobile device management tools. Mobile Gateway is based entirely on open industry standards (OMA DS/SyncML as well as LEMONADE/IMAP) and can deliver push e-mail and synchronization services to mass-market devices, without requiring additional client software installation on the device, or behind the corporate firewall.
This funding will enable us to capitalise on the traction we have gained in the international marketplace and to further improve our competitive position - particularly in the mobile email space says Synchronica CEO Carsten Brinkschulte. "Mobile e-mail is expanding into the mass market, where consumers and prosumers require industry standard-based solutions, such as the ones we provide, rather than the proprietary solutions developed for example by RIM and Visto for the high-end business market".