FireID, the South African provider of world-class security applications for mobile authentication, has raised additional funding of 5 million euros (approximately R48 million) from an investor, Jersey-based 4D Innovative Capital International.
The funding will be used to expand worldwide distribution of the mobile password authentication solution into key verticals identified in the international marketplace.
4D Innovative Capital International is an early-stage capital investment company that focuses on sourcing and funding promising hi-tech opportunities, primarily in southern Africa and specifically in software, Web, media and telecommunications, from the seed funding stage onwards.
With FireID, end-users generate a one-time password via their mobile phone to securely and conveniently log in to online banking, e-commerce Web sites, cloud-based applications and VPNs. Erik van Vlaanderen director of 4D Innovative Capital, says the need for two-factor authentication to counter the ever-growing prevalence of identity theft worldwide has been identified as a rapidly growing market segment in the international security marketplace.
"We believe that FireID, both the company and its product, is positioning itself advantageously to capture a significant share of the global market and provide a healthy return to its shareholders. For these reasons we feel the company is deserving of continued support to advance its product into the marketplace worldwide," says Van Vlaanderen.
"As the security of online transactions has become of paramount importance, the funding provides validation of the growth opportunities for FireID," said Jenny Dugmore, CEO of FireID. "These new resources will be instrumental in accelerating our rapid growth into new international markets and building on our leadership position in mobile two-factor authentication solutions."
The FireID mobile solution won the Frost & Sullivan 2009 New Product Innovation Award, recognised for its capability in the areas of innovation, leveraging of leading-edge technologies, value-added benefits and features, increased customer value, and customer acquisition/penetration potential.
Van Vlaanderen describes southern Africa, with its emerging nature, demographics and the incredible growth in mobile technology among the lower to middle income groups, as an excellent test bed for new ideas and developing technologies, and says opportunities to invest in hi-tech projects in southern Africa are ever increasing.
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4Di Capital
From garage to global
4D Innovative Capital International (4Di Capital) is an early-stage capital investment company, with a particular emphasis on hi-tech opportunities.
Based in Jersey, the company is focused on sourcing and funding promising technology, software, Web, media and telecommunications prospects from the seed funding stage onwards, primarily in southern Africa. 4Di Capital specifically seeks opportunities that have the potential to attain long-term sustainable profitability and be successful on a global stage.
4Di Capital aims to couple entrepreneurial thinking with established international venture capital methods in the under-serviced markets in southern Africa. This region has talent and potential, but lacks sufficient venture funding partners who are equipped with suitable capital, access to global networks and resources, and who follow a strategic mentoring and partnership approach.
To this end, the company has appointed exclusive advisors in South Africa, with offices in Cape Town and Johannesburg, to enable engagement with investment opportunities locally.
4Di Capital is also a founding member and sponsor of the non-profit Silicon Cape Initiative in South Africa. The vision of this initiative is to help accelerate the emergence of the promising ecosystem of hi-tech innovation in the Western Cape, attracting and fostering entrepreneurs and venture investment.
4Di Capital was founded by Columbus VC SA (a subsidiary of Luxembourg listed investment company Reinet Investments SCA) and 4Di Capital's South African investment advisor is headed by South African businessmen Justin Stanford and Erik van Vlaanderen.
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