Silverpop Closes on $15M, Plans Additional Acquisitions

ATLANTA — Silverpop, a provider of e-mail and on-demand marketing services, is planning to step up its growth through acquisitions after closing on $15 million in new venture capital.

The firm, which is run by Raleigh native and serial entrepreneur Bill Nussey, landed the D.E. Shaw Group as a new investor in the round. Existing investor Draper Fisher Jurvetson also participated in the round.

According to Nussey, who helped build and sell software firm Da Vinci Systems in the Tiangle area in North Carolina, Silverpop has been profitable since 2004. The privately held company won’t disclose specific financial information, but does say revenues increased 60 percent in 2007 from 2006.

“On-demand marketing solutions are changing how marketers do their jobs,” Nussey said in a statement. “They are able to be more flexible, more responsive and more competitive, all with lower costs.

“The demand for software-as-a-service marketing solutions is growing at an amazing rate, and investors are beginning to realize the tremendous upside of this market.”

Silverpop provides e-mail and related services as well as Web-based software solutions and online relationship marketing.

“We believe Silverpop has executed very well in a competitive marketplace,” Michael Banks, a senior vice president in D.E. Shaw’s venture capital unit, said in a statement. “The next era of marketing effectiveness is going to be heavily impacted by more precise use of targeted on-demand marketing technology in the U.S. and worldwide. We think this company is strongly positioned to lead this evolution.”

Silverpop is based in Atlanta and has offices in the U.S. as well as the United Kingdom.

Last May, Silverpop acquired Vtrenz, a provider of marketing automation and lead management services that was based in North Dakota.

Other Silverpop backers include Total Technology Ventures, ePlanet Partners and NeoCarta Ventures.

Silverpop launched in 1999.