San Francisco, CA - October 9, 2001
Citadon, Inc, the leading provider of Internet- based project collaboration and business process management services for the engineering and construction industry, today announced that it has raised an additional $19 million in financing from an investment group led by Warburg Pincus LLC. The round also included additional investment by existing backers including GE Power Systems, GE Capital, Bechtel Enterprises and Internet Capital Group.
Citadon, Inc. Successfully Completes Financing Of $19 Million Led By Warburg Pincus
"Receiving investor confidence and support of this magnitude amidst the current market conditions is a tremendous endorsement of our technology and business strategy," said Bernard Fried, President and CEO of Citadon. "We plan to continue to establish ourselves as the leading technology supplier in the collaboration space for the engineering and construction industry."
Citadon was formed in March 2001 following the merger of Bidcom Inc., and Cephren, Inc. The merger brought together Bidcom's business process project management software and Cephren's strong online document management and project collaboration software. Now, Citadon is developing its next generation product, a unified web-based collaboration software platform enabling enterprises to improve how they manage capital projects and programs by bringing together business process and document management with communication and collaboration tools. Using Citadon's services, companies are able to realize both cost and time savings based on more efficient work processes, a reduced need to travel, minimizing reprographic expenses, less reliance on courier services, using online communications, propagating company standard best practices to ensure reduced financial and legal risk, and increased margins from shortened project duration.
"With its strong base of blue-chip customers, Citadon is the market leader in providing collaborative software solutions for the high end of the construction industry," said John Santoleri, a Warburg Pincus managing director. "We believe the company is targeting a huge opportunity in the collaboration sector, and that the substantial equity commitment in this round will accelerate the company's ongoing product development effort and allow it to continue to offer leading solutions with clear value and demonstrable return on investment for its customers." The funding will be used to further advance Citadon's technology development and expand its growth strategy.
Enterprise customers use Citadon's products to manage large, complex projects and programs worldwide in a variety of industries, including the energy, chemical, pharmaceutical, and biotech sectors. Projects are diverse, ranging from the construction of a hydroelectric power station, the management of a federally funded public transportation program, to the development of a new international airport. Citadon- managed projects span the globe and are found in North and Latin America, Europe, and Asia.
About Citadon Citadon, Inc. provides the $3.9 trillion global engineering and building industry with collaboration software that enables the delivery of integrated services designed to reduce financial and legal risk, improve profitability and create accountability and predictability across global projects. Citadon's online application services help customers to conduct and manage core business processes, collaborate and communicate seamlessly, and capture and leverage knowledge across the extended enterprise for their capital and infrastructure projects.
Headquartered in San Francisco, Citadon's application services are currently being utilized in over 30 countries, by more than 30,000 active subscribers on projects with construction values in excess of $110 billion. Current Citadon customers include AECOM Corporation, Barton Malow, the Bechtel Group, Bidcom Ltd., The Chicago Transit Authority, Duke Energy, Fluor Corp., Gale & Wentworth, GE Power Systems, Gensler, IcFox International, and Swinerton Builders.
About Warburg Pincus Since 1971, Warburg Pincus has invested approximately $12 billion in 450 companies in 29 countries. The firm currently has $10 billion under management, with an additional $5 billion available for investment in a range of industries including: business services, communications, financial services, healthcare and life sciences, information technology, media and natural resources. Throughout its 30-year history in private equity, Warburg Pincus has invested at all stages of a company's life cycle, from founding start-ups and providing growth capital to leading restructurings, recapitalizations and buy-outs. Warburg Pincus is among the largest private equity investment firms in the world. Working in partnership with management teams, Warburg Pincus has taken an active role in building businesses, including companies such as BEA Systems (Nasdaq: BEAS) and Veritas (Nasdaq: VRTS).