PeopleSupport Secures $50 Million in Mezzanine Financing

Strategic Insights -

PeopleSupport, Inc., the premier provider of online customer care and customer intelligence solutions, has successfully secured $50 million in mezzanine financing led by Meritech Capital Partners and corporate strategic investors including Hewlett-Packard Company and Siebel Systems, Inc. The financing round was strategically developed to drive corporate growth and solidify PeopleSupport's leading position within the industry. The company plans to leverage this new investment to continue scaling its operations, sales and marketing, and drive its global expansion to Asia and Europe.

Key Takeaways:

  • PeopleSupport, Inc. has secured $50 million in mezzanine financing led by Meritech Capital Partners and corporate strategic investors including Hewlett-Packard Company and Siebel Systems, Inc.
  • The financing round was strategically developed to drive corporate growth and solidify PeopleSupport's leading position within the industry.
  • PeopleSupport plans to leverage the new investment to scale its operations, sales and marketing, and drive its global expansion to Asia and Europe.
  • The company's comprehensive suite of customized services includes live text chat, personalized e-mail reply, telephone services, and interactive self-help.
  • PeopleSupport provides e-businesses with a flexible range of support options including complete outsourcing, software and infrastructure hosting, customer care consulting, and training.
  • The company's clients include Fortune 500 companies and leading e-commerce businesses such as MGM, Time-Warner, GE Card Services, Reel.com, and Toyota Motor Sales U.S.A.
  • PeopleSupport has received approximately $75 million of venture financing from a range of investors including Accel Partners, Benchmark Capital, and iXL Ventures.
  • The company's managing director, Lance Rosenzweig, stated that the investment will allow PeopleSupport to continue executing on its vision and extend its global reach.

Statistics:

  • $50 million: The amount of mezzanine financing secured by PeopleSupport, Inc.
  • $75 million: The approximate amount of venture financing received by PeopleSupport from various investors.
  • 4,400: The number of employees at Cambridge Technology Partners, one of PeopleSupport's investors.
  • $628.1 million: The revenue generated by Cambridge Technology Partners in 1999.
  • $42.2 billion: The total revenue from continuing operations of Hewlett-Packard Company in its 1999 fiscal year.
  • 28: The number of countries with sales and service facilities at Siebel Systems, Inc.

Sources:

  • Business Wire, "Industry Giants Meritech, Hewlett-Packard Company, Siebel Systems, Joined by a Host of Consulting and Financial Investors, Back Leading Online Customer Care Provider PeopleSupport, Inc."
  • Cambridge Technology Partners website: http://www.ctp.com
  • Camelot Ventures website: www.camelotventures.com
  • CDB Web Tech website: http://www.cdbwebtech.com
  • Extraprise website: www.extraprise.com
  • Hewlett-Packard Company website: http://www.hp.com
  • iXL Ventures website: http://www.ixlventures.com
  • Meritech Capital Partners website: http://www.meritechcapital.com
  • Octane Capital Management website: http://www.octanecapital.com
  • Siebel Systems, Inc. website: http://www.siebel.com
  • Tarrant Venture Partners website: http://www.tarrantvc.com
  • Viant Corporation website: http://www.viant.com
  • PeopleSupport website: http://www.peoplesupport.com