With New Cash and Facilities, Phoenix Transitions Out Of Startup Mode

Phoenix recently disclosed in a regulatory filing that it raised more than $4.5 million in equity funding from three investors. The company expects to raise a total of about $10 million as part of the funding round, and will likely raise the remaining money by this spring, Sengbusch says.

Outlook Development Group, a Franklin, WI-based commercial real estate firm, is leading the round, Sengbusch says. The other participants are all investors who had backed Phoenix previously, he says.

The company, which has been in business since 2005 and shortened its name from Phoenix Nuclear Labs two years ago, employs about 90 people, 70 of whom are full-time, Sengbusch says. He declined to share revenue projections for 2019, but says the company expects to become profitable on an annual basis this year.

Phoenix plans to use some of the new money to fund the construction of two buildings at a planned new corporate headquarters in Fitchburg, WI, a suburb just south of Madison, Sengbusch says. The company will use one of the facilities, which it broke ground on last fall, to perform neutron radiography and other imaging work on new product prototypes Phoenix’s customers are developing, among other things. Phoenix expects it will open that facility in mid-2019, and move into the second building, its new headquarters, sometime next year.

Read more at Xconomy.