Logitech International has sold 62.5 percent stake in Lifesize Inc to three venture capital firms – Redpoint Ventures, Sutter Hill Ventures and Meritech Capital Partners – for $17.5 million.
Earlier, Lifesize was a division of Logitech. Logitech has converted Lifesize Inc into a private entity in order to offer stake to three private VCs. Logitech will hold a 37.5 percent share in the global video conferencing company.
Lifesize aims to realize its potential as a videoconferencing software as a service (SaaS) provider. In addition, Lifesize will also benefit from the additional SaaS and videoconferencing market experience of its new investors.
Backed by $17.5 million in funding from three Silicon Valley venture firms, Lifesize aims to tap the $7 billion global conferencing market.
Lifesize plans to use funds to:
# Drive accelerated demand generation and customer acquisition
# Invest in engineering headcount to bolster its leadership position with its integrated SaaS-based software and hardware technology
# Further strengthen the alignment of its brand and the market leadership of its cloud-based services
Since the launch of Lifesize Cloud, the company has added more than 2,000 paid customers including Twilio, Survey Monkey, Omnicom Group and Evolution Gaming to the service.