LeatherXchange receives euro7.5 million

Investee Company – LeatherXchange (Spain)

Investee Company Business Type – Online service provider for the global leather industry

Type of Financing – Development Capital

Equity Providers – Gilde IT fund, Amadeus Capital Partners, CRI (Santander Central Hispano, Latin Rim and LogiSpring

Equity Leader (Individual) – Bob Visser, Gilde IT Fund

Debt Providers – N/A

Debt Type -N/A

Debt Leader (Individual) – N/A

Equity Amount – euro7.5 million ($6.89 million)

Total Deal Value – euro7.5 million ($6.89 million)

Other Advisors – N/A

Comments – LeatherXchange, an online B2B leather industry service provider, has received euro7.5 million in a second round of financing. The investment, led by Netherlands-based Gilde IT Fund and including Amadeus Capital Partners, CRI, Latin Rim and LogiSpring, will be used to aid the growth of the business. The company expects to breakeven with this financing.

In October 2000 the company secured funding of euro11.5 million.

LeatherXchange, based in Barcelona, was founded in 1999 by CEO, Jose Suarez. The company provides the global leather industry with an online business-to-business buy and sell transaction service. It also provides offline services such as inspection and consultancy and offers customised ASP services to help leather companies develop private exchanges.

The company has staff in 12 countries and around 500 clients in over 40 countries world-wide.

Bob Visser, investment director and Partner at Gilde IT Fund said: “The additional funding reflects LeatherXchange’s increasing value to the leather industry and management’s disciplined approach to growing the business.”

Hitesh Mehta, Director of Amadeus Capital Partners added: “In the current difficult economic environment LeatherXchange is one of the few exceptional young businesses to secure significant financing.”