Stretch, a provider of software configurable processors, announced it received US$10 million in mezzanine funding, co-led by existing investors Worldview Technology Partners, Oak Investment Partners and Menlo Ventures.
"This last round of funding provides Stretch the financial security to scale our operations and attain profitability," said Craig Lytle, President and CEO of Stretch. "Where we have seen many startups fail in this difficult economy, Stretch's success is a testament to our ability to provide increased performance at a reduced cost for our customers."
Stretch has been successful in securing design wins with major video surveillance OEMs and ODMs across the world, and those customers are now in production, driving strong revenue growth. A partial list of customers includes Skyvision, EverFocus, Lanner, Advantech, Euresys, Matrox, Provideo and UDP Technologies.
"2009 has been a watershed year for Stretch," said Bob Beachler, Stretch's VP of Marketing, Operations and Systems Design. "Our third quarter was excellent, with revenue growing four times over second quarter, and we entered the fourth quarter with a healthy backlog to support a 3x revenue growth over the third quarter."
Stretch intends to use this additional funding to support increased manufacturing capacity and tape-out of its third generation of devices.
With more than 60 employees and offices worldwide, Stretch has received 20 patent awards and has more patents pending.