OpenView Venture Partners invests $11.5 million in Valley Forge Cloud Services company Xtium

Tom Paine

Valley Forge-based Xtium announced today that it had received a $11.5 million Series A round from OpenView Venture Partners of Boston. Xtium provides IaaS (Infrastructure as a Service) virtual private cloud service solutions to mid-market companies. Xtium says it is one of only three companies certified to be a hosting service provider for VMware, SAP, and Riverbed

Peter Ritz, co-founder and President of Xtium, has been a serial entrepreneur in the Philadelphia area involved in the founding of NTERA of Radnor (nanotech electronic inks for digital displays) and mobile business app provider AirClic of Trevose, and also directed legal operations for Ikon Technology Services.

For OpenView Partners, this represents its third major investment in the Philadelphia area announced in the past two months for a total of nearly $40 million, Monetate and NextDocs being the others. When I asked OpenView partner Firas Raou after the NextDocs investment was announced whether the firm had placed a particular emphasis on the area, he said it was only a coincidence. But now OpenView has close to one sixth of the $240 million it currently has under management invested here (at startups within a few miles of each other), so one would have to consider there might be some kind of connection. Valuations, I would guess, can be reasonably attractive for investors here since the market is not as overheated as places like Boston, New York and Silicon Valley.




View OpenView Venture Partners' local investments in a larger map
OpenView partners can easily visit each of their Philly-area portfolio companies in short, leisurely (non-rush hour) drive

Xtium raises $11.5M to expand pay-as-you-grow virtual private cloud services (VentureBeat)



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