News & Events - News
Digital Insight Receives $8 Million Funding for Its Future Growth
CAMARILLO, Calif. — 23 February 1998 — Digital Insight today announced the company has completed its second round of funding totaling $8 million, according to Paul Fiore, the President and CEO. As the leader in providing real-time, Internet home banking solutions with over 75 active and live financial institutions, Digital Insight will receive a first-time investment of $5 million from HarbourVest Partners, LLC, and a second-round investment of $3 million from Menlo Ventures to be used for general corporate purposes."This round of funding for our company signals our commitment to the financial community that we are here to make an impact in online financial services," said Fiore. "Our tremendous growth in the last year was a clear indicator of why these companies wanted to invest in our company."
HarbourVest Partners, a company devoted to funding online information services ventures, was attracted to Digital Insight's overall track record. "It is important for us to fund companies that are leaders in their category," said Ofer Nemirovsky, Managing Director for HarbourVest Partners. "Digital Insight has proven itself by making great strides in expanding its customer base as well as strengthening its management team."
Menlo Ventures is completing its original $6 million funding deal initiated in March 1997. Menlo Ventures credits Digital Insight's rapid growth for its continued funding commitment. "Digital Insight has made incredible progress in the last year," said John Jarve, General Partner and Managing Director of Menlo Ventures. "This company has delivered on its objectives and continues to prove itself with its forward thinking."
Significant Growth in 1997
In the last year, Digital Insight grew from approximately 20,000 consumers enjoying online home banking to over 100,000. The company also installed 40 new home banking solutions to financial institutions, including Home Savings of America, bringing its total to more than 75 live customers. In addition, Digital Insight has over 130 home banking clients under contract and serves over 260 clients in total. Digital Insight made several key partnerships and acquisitions including RJE Internet Services and C.U. Processing, initiated the technology to buy U.S. Savings Bonds over the Internet, and continued to solidify its management team to meet the needs of its customers.
About Digital Insight
Digital Insight (http://www.diginsite.com/) is a developer of real-time, Internet-based transaction services for financial institutions. The fast-rising Internet company developed AXISTM, a Web-based home banking system for financial institutions. Along with home banking services for over 75 financial institutions, Digital Insight provides Web site creation, maintenance and server hosting facilities for more than 230 financial institutions throughout the country. Digital Insight was founded in 1995.
About HarbourVest
HarbourVest Partners, LLC was established in 1982 and is now one of the largest private equity investment firms in the world, managing assets of more than $4.5 billion. Headquartered in Boston, the company has additional offices in London and Hong Kong. HarbourVest has previously invested in several Internet companies including UUNET Technologies and NETCOM On-Line Communications Services, Inc.