CNET News.com: Linuxcare gets cash infusion, new executiveDec 15, 1999, 06:40 (0 Talkback[s])
(Other stories by Stephen Shankland)
"Linuxcare may not be among the Linux companies going public, but it seems to have no trouble getting investments or finding new ways to spend the cash.
The latest infusion is a $32.5 million investment that will be used to pay for a major expansion, chief executive Fernand Sarrat said at a news conference today. The company, based here, sells Linux technical support and consulting services, competing with hot start-ups like Red Hat and VA Linux Systems as well as more established companies retooling to accommodate the 'open source' operating system, such as Santa Cruz Operation and IBM.
Linuxcare also got a new chief financial officer, as Sarrat replaced Anthony Pollace with Christian Paul, the former CFO of Cloudscape, a Java database company owned by Informix."
"...Linuxcare wants to get its business in better shape before it goes public. The company isn't profitable and won't be for the next year as Linuxcare pays for aggressive hiring and expansion, Sarrat said in an interview. Shunning the method pioneered by Internet companies, Sarrat is focusing on building up the business before Linuxcare goes public, instead of using the proceeds of an IPO to fund that expansion."