With a new round of funding and a fresh acquisition, a local startup is looking to expand its operations, staff and product line.
On Wednesday, Coppell-based Peak Nanosystems, a startup focused on the development and deployment of nanotechnology, especially in the area of optics, announced closing on a $25 million Series C funding round led by Squadron Capital. Peak turned around and used the funding to acquire Cleveland-based polymer science and engineering service company PolymerPlus.
“This investment presented the perfect opportunity to meld materials innovation with experienced manufacturing personnel and capital resources to enable rapid scaling of the U.S. based manufacturing processes and facilities,” said Michael Ponting, co-founder of PolymerPlus, in a prepared statement.
Nano began partnering with PolymerPlus in 2016 to develop and bring to market a nanolayered film through its subsidiary Peak Nano Optics. Because much of PolymerPlus’ technology was developed at Case Western Reserve University, as part of the acquisition Peak will get exclusive rights to nanolayered film tech intellectual property there, as well as in-house tech developed by PolymerPlus.
In addition to the intellectual property, Peak added Ponting as its new chief science officer.
Through the acquisition, Peak will expand into the capacitor market. It is now offering a thin, light-weight Saran Wrap-like optic into the military, automotive and grid power markets.
“We are confident their technical expertise and manufacturing processes will lead to the much broader use of this technology in both optical and electrical capacitance applications,” said Dave Pelizzon, president of Squadron Capital, in a prepared statement. “It is also likely there are significant possibilities to integrate this technology into medical devices.”
The new funding brings Peak’s total funding to more than $30.8 million, according to Crunchbase. The company previously closed a Series B funding round for an undisclosed amount, led by L-3 Communications in 2018. With the new funding, Peak plans to further invest in a $30 million optical design and manufacturing factory in Cleveland, which is expected to come online in Q3 of this year. According to a previous press release, the opening of the factory has been pushed back, likely due to the coronavirus pandemic. The new product is expected to launch in 2021.
The acquisition will also bring Peak’s employee count from 60 to about 70. When the factory gets up and running, its workforce is expected to expand to more than 100.
“We still see a continuous demand," Chad Lewis, Peak president, told the Dallas Business Journal. "Whether it's military or commercial, companies are always looking for that next big breakthrough innovation – and that's what we have.”
