According to its news release, Bricsnet intends “to use the funds to enhance product development and services, and to extend its leadership in the growing market for retail, corporate and public sector real estate management systems.”
The investors are long-term Bricsnet shareholders: “four European groups and individuals: Torimbia SL, Stonefund NV, Paladin SA, and TBC SA.”
This announcement sounded very familiar. No wonder. It comes almost exactly two years after Bricsnet announced a $10m fund-raising round (see here; original release no longer features on Bricsnet’s website), again by a consortium of existing shareholders. The rationale for that fundraising was strikingly similar; it would: “use the funds to enhance product development and services and extend its leadership in the rapidly growing market for corporate real estate management systems”.
The 19 October 2005 announcement followed another fundraising round earlier that year in which it raised $4m – so it would seem Bricsnet has burned its way through $14m in the two years since then.
Briscnet raised $18.4m in an IPO in 1999, but struggled during the bad old days of the dot.com boom and bust in 2001 (read about it here …), losing millions of Euros (… and here …), and raising €10m around the time it acquired Constructeo (and here).