Accel backs Irish software developer Cape Clear

Investee Company – Cape Clear Software (Ireland)

Investee Company Business Type – Provider of web services technology

Type of Financing – Expansion

Equity Providers – Accel Partners, ACT Venture Capital, Greylock

Equity Leader (Individual) – Kevin Comolli, Accel Partners

Debt Providers – N/A

Debt Type – N/A

Debt Leader (Individual) – N/A

Equity Amount – $16 million

Total Deal Value – $16 million

Other Advisors – N/A

Comments – Irish software provider Cape Clear has completed a $16 million second round of financing in a deal led by Menlo Park-based Accel Partners. The round also included US early stage venture capital firm Greylock, and return Irish investor ACT Venture Capital.

Cape Clear develops and markets web service technology that enables software developers to create and deploy web services. Linking internal IT systems and applications quickly and easily over the Internet in order to support a new generation of business applications, is targeted at removing the traditionally perceived barriers when creating business-to-business applications.

The company which is headquartered in Dublin and has offices in London and California has attracted US investors at a time when it is looking to take advantage of market opportunity. Cape Clear began operations in Ireland in September 1999, securing an initial investment of $2 million from ACT in March 2000.

By the end of 2000 the company had augmented its first products and is currently generating revenue. Following the investment round Kevin Comolli, managing general partner for Europe at Accel Partners and Aneel Bhusri from Greylock will join the company’s board.

The focus projected by the company is profoundly clear according to Annrai O’Toole, executive chairman at Cape Clear Software: “The common denominator for this problem has been that every solution put forward has been designed for rocket scientists and requires a massive investment in consultancy. We are changing the rules.” Thus the focus of Cape Clear has been to create a ‘Ubiquitous middleware’, in order to provide tools that all developers can use.

Cape Clear currently employs 55 people in Dublin, London, and California. Accel Partners recently announced the closing of a $500 million European fund.