Covarity Inc.

Covarity Inc.

May 29, 2006 09:00 ET

Covarity Secures $3.2 Million in Venture Capital Financing

KITCHENER, ONTARIO--(CCNMatthews - May 29, 2006) -

Funds expected to strengthen the company's lead in loan management software solutions for the financial services sector

Covarity Inc., a developer of financial services software, today announced that it has secured an additional $3.2 million in venture capital financing. The funds will be used to expand Covarity's lead in the commercial loan monitoring solutions market, as well as accelerate the development of the company's financial statement data collection automation solution.

Investors in this round included GrowthWorks Canadian Fund Ltd., Tech Capital Partners Inc., and VentureLink Diversified Balanced Fund Inc. "Covarity has had a tremendous amount of success in providing its loan monitoring solutions to customers, who are seeing direct improvements in commercial portfolio performance and reduced risk," said Les Lyall, Senior Vice President, GrowthWorks. "The company has been working closely with these customers to automate existing commercial lending process, improving the timeliness of information and the visibility into accounts."

"Our solutions allow financial institutions to collect and analyze borrower financial statement data electronically instead of on paper," said Rod Foster, Chief Executive Officer, Covarity. "As a result, our customers have been able to grow their lending portfolios while improving service to their borrowers and keeping costs in check. The Covarity Dashboard is changing the commercial lending game, and this funding will enable us to increase our reach in the market."

About Covarity Inc.

Incorporated since 2001, Covarity is the leading provider of commercial loan management software solutions. The Covarity Dashboard helps financial institutions attract new business by harnessing the internet to improve customer service, while reducing the risk and effort associated with capturing borrower financial statement data and monitoring commercial loans. Please see http://www.covarity.com for additional information.


Contact Information