RealTime IT News

Vation Wins Bridge Round, Loses 13 Employees

ASP Vation, Inc. announced that it has secured a bridge round of financing, which shores up the Chicago-based company after lead investor ABN AMRO Private Equity backed out of its $4 million promise last month.

It is working on obtaining a Series B round of financing and is talking with some West Coast and Texas investors.

The company has also implemented a cost-reduction program, causing the lay off of 13 employees. This brings the company's staffing down to 34 from 47.

Vation's President Dan Rodgers is still upbeat about the company's future, even though it launched in tough market last October. It has recently signed an agreement with Interwoven to provide it "a global hosted solution for [its] worldwide sales force."

Earlier this year, Vation had raised a total of $2.6 million from private and angel investors, including Ken Wruk, chairman of Yesmail.com, and Mark Glennon, vice president of Vcapital.com.

Vation's site is presently being redesigned but the old site is presently available for viewing.