PSS Raises $18 Million

PSS Systems Inc., a Mountain View, Calif.-based provider of legal holds and retention management solutions, has raised $18 million in Series D funding. FTVentures led the round, and was joined by return backers Lightspeed Venture Partners, Azure Capital Partners, Granite Ventures and Cipio Partners. 

PRESS RELEASE

PSS Systems, the leader in legal holds and retention management solutions, announced it secured $18 million in equity financing led by FTVentures. The company's existing investors, including Lightspeed Venture Partners, Azure Capital Partners, Granite Ventures, and Cipio Partners, all renewed their investment in the company. PSS Systems will use the capital to aggressively expand its legal governance product portfolio and its presence in the US and European markets.

PSS Systems established itself as the innovator and market leader when it launched its Atlas legal holds and retention policy suite nearly two years before revisions to the Federal Rules of Civil Procedure raised the bar for how corporations preserve evidence and manage information. Similarly today, the company anticipates a substantial increase in global complexity as judicial expectations in the US rise alongside increasing enforcement of data protection rules in the European Union. To expand on its leadership in legal governance solutions, PSS Systems will increase its R&D investment and expand its product family to address the growing complexities and data volumes plaguing global companies and to deepen its market lead.

“As we looked at PSS Systems, we were impressed with the level of enthusiasm and advocacy expressed across their customer base; the company's impressive domain expertise enables them to solve very difficult problems and provide real value as business partners, substantially reducing risk and cost for their customers,” said Eric Byunn, partner at FTVentures and new PSS Systems board member. “As the first mover to address an extremely thorny challenge, PSS has a tremendous lead in the market that is substantiated by a blue chip customer list which features seven of FTVentures financial services limited partners including Citi, Credit Suisse, and Travelers.”

“The ability to effectively manage your entire records system and necessary legal holds acting on those records is essential in today's legal environment. Doing this reduces legal risk and effectively manages business information assets,” states Bruce Whitney, former assistant general counsel and now advisor to Air Products. “PSS Systems is the only company that really understands and effectively addresses this important linkage. Its Atlas product suite is a natural choice for companies