Switzerland-based computing technology provider Logitech International has spun out its Lifesize videoconferencing division into a private company with $17.5m in series A funding from three US-based venture capital firms.
Redpoint Ventures, Sutter Hill Ventures and Meritech Capital Partners provided the capital. Logitech, which is divesting the company as part of a streamlining process that will involve prioritising its retail business, will retain a 37.5% stake in the newly formed company.
Lifesize provides high-definition, cloud-based videoconferencing software that can connect up to 40 people or rooms in a single conversation.
Originally founded in 2003, the company was acquired for $450m by Logitech in 2009, giving an exit to investors including Redpoint and Sutter Hill.
Logitech expects to record a non-cash gain of between $15m and $20m for the fourth quarter of the 2016 fiscal year through the transaction.