Filed under: Raising money, Investments
One of the hottest IPOs of the year is Aruba Networks Inc. (NASDAQ: ARUN), which is up 82.5% since its debut in late March. The company builds technologies to secure massive corporate wireless networks. After all, with the proliferation of devices - such as Research in Motion’s (NASDAQ: RIMM) BlackBerry - it is a large market opportunity.
Well, another firm wants a piece of the action: Aerohive Networks.
In fact, the company recently raised its second round of venture capital for $20 million. The lead investor is the venerable Kleiner Perkins
Aerohive develops so-called “cooperative control” wireless LAN (WLAN) access points. Basically, it makes it easier for companies to deploy wireless services - and at lower costs. This is done by sharing information in optimized groups, which are called “hives.”
No doubt, Aerohive faces intense competition, such as from Cisco Systems Inc. (NASDAQ: CSCO). But, in the WLAN market, there’s always room for a better product.
Besides, Aerohive has a top notch management team. Keep in mind that their last deal - NetScreen - sold for a cool $4 billion to Juniper Networks (NASDAQ: JNPR).
To check out more current venture capital funding news, click here.
Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.
Entries (RSS)