Synchrony Inc., a Roanoke, Va.-based maker of magnetic bearings, power and control systems, has raised $10 million in Series B funding from affiliates of Third Security LLC.
Specializing in the development and production of magnetic bearings, power, and control systems, Synchrony, Inc. announced today that it has secured $10 million in Series B financing from New River Management V, LP and NewVa Capital Partners, LP, which are both managed by Third Security, LLC of Radford, Virginia. Affiliates of Third Security, LLC and NewVa Capital Partners, LP provided Synchrony with Series A financing in February 2006.
According to Synchrony Chairman and CEO Dr. Victor Iannello, this investment will allow the company to build on its recent successes, including the Fusion(TM) bearing, the only active magnetic bearing in the world that does not require an external electronic control system. The company will also continue to pursue strategic partnerships worldwide.
“This year has been one of robust growth for our company, including the expansion of our research and manufacturing operations into a 58-thousand square foot facility. This substantial and continued commitment by Third Security allows us to continue our forward momentum and leverage our advanced technology solutions to customers worldwide,” said Dr. Iannello. “Our entire company shares in my excitement that we are becoming the global leader in clean, efficient, and reliable energy solutions using our unique magnetic levitation and power conversion technologies.”
In September, Synchrony announced plans to upgrade its operations and manufacturing capacity located in Valley Tech Park in Roanoke County. The significantly larger facility includes multiple work cells for the production of its magnetic bearings, integrated drive trains, and electrical control systems. Additional space is devoted to quality assurance, including automated metrology instruments, and fixtures for testing of its products at high rotational speeds allowing the company to deliver its products in the large quantities and at the high quality levels required by its defense, aerospace and industrial customers worldwide.
“Our simple credo is that if you like something, you should want more of it, and we like this company,” said R.J. Kirk, Chairman and CEO of Third Security. “Since our initial investment, we have carefully analyzed the global market for Synchrony's products, closely monitored the company's operations including the recent expansion of production capacity and tracked its steady progress through such innovations as Fusion(TM). We are very pleased to make this investment in Synchrony's future.”
Since its start in 1993, Synchrony has reached several significant milestones, including a development program with Rolls-Royce to develop the starter generator and power electronics module for a new supersonic cruise missile engine. It has also received nearly $9 million in research contracts from the U.S. Department of Defense and NASA. Most of its current 28 employees are engineers and technicians associated with its research and development activities. The company expects to more than double its employment in 2008.
For more information about Synchrony, visit the company's website, http://www.synchrony.com/, or by contacting Mr. Pat Risen, Director of Business Development, (540) 989-1541 x103,
NewVa Capital Partners, LP is a private equity/venture capital enterprise that makes early stage investments in companies in the NewVa region of southwestern Virginia. More information is available at the fund's website, http://www.newvafund.com/.Third Security, LLC is an independent private investment and advisory firm formed in 1999 to manage investments in public and private companies. The firm leverages its people, expertise and capital to guide investments and companies to higher levels of performance. More information is available at the firm's website, http://www.thirdsecurity.com/ or by contacting David Snepp, Director of Communications (540) 633-7952.