June 13--ROCKY HILL -- A Bloomfield-based software company is getting a $1.5 million loan from Connecticut's technology investment agency.
PCC Technology Group will use the loan from Connecticut Innovations (CI) to expand its sales and marketing efforts as well as to roll out one its software platforms on a national scale. The loan is coming from CI's Venture and Mezzanine Debt Fund, which helps growth-stage companies obtain important capital for expansion.
Mezzanine capital is structured as subordinated debt or preferred equity and has claims on a company's assets senior to the common shares, according to CI officials. Funding available through the Venture and Mezzanine Debt Fund ranges from $300,000 to $2 million.
"PCC has been able to grow and retain business in several verticals as the e-government space continues to develop," Peter Longo, CI's senior managing director of investments, said in a statement. "This investment will allow the company to meet the demands of the growth through a uniquely-structured product."
The loan is part of a larger $5.5 million financing round led by Stonehenge Growth Capital, which was created in 1999 as a spin-off from Bank One.
PCC Technology Group produces record-keeping software for businesses and government clients. It also creates software that serves clients in the energy, health care and education sectors.
"This investment is critical to PCC's strategy to accelerate growth by providing exciting and innovative products to domestic and international markets," Jerry Long, cofounder and chief executive officer of PCC, said in a statement.
To qualify for consideration by CI's Venture and Mezzanine Debt Fund, Connecticut companies must have an existing product that has been around for at lest a years and achieved some success in the market.
Money that CI provides to companies from the fund is structured either as subordinated debt or preferred equity.
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