Vonage closed a $40.0 million series C financing round led by 3i and co-led by Meritech Capital Partners, bringing total investment in the company over the past three months to $75 million. Vonage said it plans to use the new financing to accelerate the expansion of service both in the United States and abroad, including Canada, the UK, and Switzerland and to support the development of new offerings. Existing investors New Enterprise Associates (NEA) and Vonage senior management also participated in the round; bringing the capital raised to $103.0 million.
J. Sanford (Sandy) Miller, managing director with 3i, will join Vonage’s Board of Directors.
“Our rapid subscriber growth and the depth of our financial backing is clear evidence that there is a revolution underway that is changing the way we communicate. Consumers are ready for a low-cost, yet feature-rich alternative to traditional phone service — and the rising use of broadband technology is making that possible,” stated Jeffrey A. Citron, chairman & CEO, Vonage. http://www.vonage.com
