Leading Audio Technology Company iZotope, Inc. Scores $12 million Investment
Cambridge, Mass. – September 4, 2013 – iZotope, Inc., a leading audio technology company, today announced a $12 million investment from ABS Capital Partners, a leading investor in later-stage growth companies. iZotope will use the funds to develop new products, expand their markets and increase sales and marketing efforts. As a result of the financing, ABS Capital general partner Laura Witt will join the Company’s board of directors, as will Dean Goodermote, a former ABS Capital portfolio company CEO, a board member of Berklee College of Music, and a successful technology and software executive.
“iZotope is a company driven by a wealth of creative brainpower. Coupled with our position as a market leader, this funding will enable us to realize more of our creative vision, accelerating innovation and new products for our loyal customer base,” explained Mark Ethier, CEO and co-founder of iZotope. “Taking outside funding is a huge opportunity, and we felt that ABS Capital would be a true partner in the business. With more resources, we’ll be able to expand the reach of our current offerings and develop products to address new opportunities in ways we never imagined.”
iZotope, headquartered in Cambridge, Massachusetts, was founded in 2001 and creates professional audio products for the music, entertainment and education industries. The Company’s current product portfolio is comprised of solutions for audio creation, repair, mixing and mastering. iZotope’s award-winning products and technologies are used by millions of people in over 50 countries. The Company is well-positioned to continue to be at the center of two very important trends. First, production of both audio and video content is increasingly shifting from traditional, expensive studio settings outfitted with hardware tools to software-based production environments. This trend is democratizing audio production to a broader market of freelance professional or “prosumer” producers, eager to acquire affordable, best-in-class tools to differentiate their sound production. Second, the increasing volume of video produced for corporate and educational purposes and the proliferation of user-generated video content create new potential markets for iZotope’s audio production tools.
“iZotope already has an incredible brand and is well-recognized for its leading audio technology. It’s a unique opportunity to work with a strong, entrepreneurial business to help them broaden their market presence,” said Witt. “This new funding means they can reach more customers and markets, and professional and amateur musicians and engineers alike will benefit.”
iZotope’s products are sold directly online, as well as through brick and mortar and online retail channels such as Guitar Center. The Company’s clients include musical giants such as Depeche Mode, Garbage, Skrillex, and Wu-Tang Clan; radio stations and TV programming such as CBS’s Survivor, the Discovery Channel’s Deadliest Catch, the World Cup broadcast and the GRAMMY awards. iZotope technology is also directly integrated into products made by industry leaders such as Adobe, Avid and Sony; video games from companies like Microsoft, Harmonix and Ubisoft; and a growing number of mobile phone applications.
Boston-based MediaBridge Capital Advisors served as the exclusive financial advisor to iZotope in connection with the financing.