Observable Networks gets USD1.625m in convertible debt funding

Observable Networks´ Inc. has closed USD1.625 million in convertible debt funding from investors arranged by DH Capital, an investment banking firm serving companies in the Internet infrastructure, communications, and SaaS sectors, the company said.

Observable Networks received additional backing from Vectis Healthcare and Life Sciences Fund II, a private investor, of which Stifel, Nicolaus & Company, Inc. is a general partner. The new round of investment follows previously announced USD2.45 million in Series A1 funding from May of 2014.

The capital will be used to fund the growth of Observable Networks´ sales and marketing team and increase IT security market awareness of the company´s dynamic endpoint modeling technology and cloud-based service platform.

Observable Networks Inc. is an emerging leader of network security technology and advanced threat detection services that identify compromised and misused networked devices currently escaping detection by network security tools. Observable´s endpoint modeling technology includes a cloud-based service platform incorporating automated security analytics and real-time traffic sensors to continuously model all devices on networks of any size, all the time. Endpoint modeling is indifferent to encryption and does not use threat signatures. Observable Networks is a privately held company headquartered in St. Louis, MO.

DH Capital is a private investment banking partnership serving companies in the Internet infrastructure, communications, and SaaS sectors. Headquartered in New York City with offices in Boulder, Colorado, the firm´s principals have extensive experience and proven abilities in capital formation, finance, research, business development, and operations.

Vectis Healthcare & Life Sciences Fund is a national life sciences venture capital and private equity fund that employs a hybrid strategy of fund and direct investments. Co-headquartered in St. Louis and Boston, the fund´s co-General Partners are Stifel, Nicolaus & company, Incorporated and Brooke Private Equity Associates.