GaN Systems raises $20m in Series C financing
GaN Systems Inc of Ottawa, Ontario, Canada, a fabless developer of gallium nitride (GaN)-based power switching semiconductors for power conversion and control applications, has raised US$20m in a Series C round of financing led by Canadian venture capital fund Cycle Capital Management and joined by BDC Capital and Beijing-based Tsing Capital as well as existing investors Chrysalix Energy Venture Capital and RockPort Capital.
The firm says that, as its customers launch multiple consumer and enterprise products designed with its GaN transistors, the financing will enable it to ramp up sales and marketing support for its rapidly growing international customer base and to continue expansion of its manufacturing line.
With GaN-based transistors increasingly poised to disrupt the $15bn power transistor market, the firm says that its Island Technology results in devices that are smaller and more efficient than traditional silicon design approaches, adding that its products enable switching efficiencies that lead to more sustainable energy use and increased power efficiency while reducing costs and environmental impacts of some of the world’s fastest growing industries. GaN Systems’ power electronics transistors can be used for applications ranging from more efficient data centers and solar inverters to thinner TVs, smaller more powerful motors, longer-range electric vehicles (EVs), and other consumer, enterprise, industrial and transportation applications.
“This deal was led by Cycle Capital’s managing partner Claude Vachet and our semiconductor seasoned investment team,” says Cycle Capital’s founder & managing partner Andrée-Lise Méthot.
“With a long history of cleantech venture capital investing in China, we are pleased to add GaN Systems to our portfolio of energy efficiency companies,” comments Michael Li, managing partner at Tsing Capital (a global investor in environment and cleantech firms, founded in 2001). “China represents one of the largest and fastest-growing markets for power electronics globally, and we look forward to helping support GaN Systems’ expansion and product delivery,” he adds.
The diverse group of investors will collectively provide “critical financing, strategic advice, and additional entry points into growth markets,” believes GaN Systems’ CEO Jim Witham.