Exit watch, June 25, 2007

Greycroft celebrates first exit as Getty buys Pump Audio

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has agreed to acquire Pump Audio, a Tivoli, N.Y.-based digital agent for independent musicians, for $42 million. Pump Audio raised a $2.5 million Series A round in early 2006 from Greycroft Partners, High Peaks Venture Partners and Village Ventures.

The acquisition represents the first sale for Greycroft, which was co-founded by the legendary VC investor Alan Patricof. He raised the $75 million fund to make early stage investments in the new media sector, including wireless, media and entertainment companies.

Patricfo told PE Week that the Pump Audio exit generated nearly a 6X return for the New York-based firm.

“Of course you never have enough of the winners,” he says. “The rest of the portfolio is doing fine; 13 investments and all are making good progress.”

Roche pays $272M for Niblegen


agreed last week to acquire Nimblegen Systems Inc., a Madison, Wis.-based maker of microarrays for the life sciences market, for $272.5 million. The deal comes shortly after Nimblegen had filed for a $75 million IPO, and represents more immediate liquidity for shareholders Skyline Ventures, Cargill Ventures, Schott AG, Brookside Capital Partners, Venture Investors, the State of Wisconsin Investment Board and Baird Venture Partners. Nimblegen had raised about $66 million in VC funding since 2000.

Volt buys LSSi

Volt Information Sciences Inc. (NYSE: VOL) has agreed to acquire LSSi Corp., an Edison, N.J.–based provider of a national database for the directory assistance market. The deal is valued at about $70 million in cash. LSSI has raised about $74 million in total VC funding since 1996 from such investors as Warburg Pincus, Granite Ventures and Georgica Advisors.

SonicWall scoops up Aventail for $25M

SonicWall Inc.

(Nasdaq: SNWL) has agreed to acquire Aventail Corp., a Seattle–based provider of SSL VPN remote access solutions, for about $25 million in cash. Aventail had raised about $120 million in total VC funding since its 1996 inception, including a 2001 Series E infusion at a $122 million post-money valuation. Investors include Focus Ventures, Fidelity Ventures, Trinity Ventures, Oak Investment Partners, GRP Partners, Hewlett-Packard, Madrona Venture Group, Morgan Stanley Private Equity and the XML Fund.

Alignent sold for $5.5M


has agreed to acquire Alignent Software Inc., an Irvine, Calif.-based supplier of product and technology road-mapping software for complex global companies. The all-cash deal is valued at about $5.5 million. Alignent had raised about $6 million in early stage funding from Horizon Ventures and Mission Ventures in 2005.

PatchLink buys security software company

PatchLink Corp.

, a Scottsdale, Ariz.-based provider of security patch and vulnerability management software, has agreed to acquire SecureWave SA, a Luxembourg-based provider of endpoint security software. No financial terms were disclosed. SecureWave has raised about $10 million from such firms as Index Ventures and Mangrove Ventures. As part of the sale agreement, Mangrove will be gain a seat on the PatchLink board. PatchLink has raised more than $45 million in VC funding from scuh firms as Bay Partners, GIC Special Investments, Granite Global Ventures and Scale Venture Partners.

HP acquires SPI

Hewlett-Packard (NYSE: HPQ) has agreed to acquire SPI Dynamics Inc., an Atlanta-based provider of Web application security assessment software and services. No financial terms were disclosed for the deal, which is expected to close next quarter. SPI Dynamics has raised about $5.5 million in VC funding since 2001 from such firms as Gray Ventures, C&B Capital, Southeastern Technology Fund and Visa International.

Synopsys buys ArchPro

Synopsys Inc.

(Nasdaq: SNPS) has acquired ArchPro Design Automation Inc., a Milpitas, Calif.-based provider of EDA solutions for power management design challenges in multi-voltage designs. No financial terms were disclosed. ArchPro had raised more than $5 million in VC funding from such firms as Intel Capital, Entrepia Ventures and Sage Technology Ventures.

Humana pays $360 million for CompBenefits

Humana Inc.

(NYSE: HUM) has agreed to acquire CompBenefits Corp., a Roswell, Ga.-based provider of dental and vision benefit plans, for $360 million in cash. CompBenefits filed for a $150 million IPO in December. In announcing the acquisition, neither company mentioned the fate of the IPO.

CompBenefits’ largest shareholder, TA Associates, purchased it in 1993 and took it public in 1995 in a $50 million offering. The private equity firm sold its stake a couple of years later only to acquire it once again through a $50 million buyout in 2000 that was led by TA and GTCR Golder Rauner.

Other listed shareholders include Nautic Partners and Wolverine Investment. —PE Week staff