Rightscale raises £10m to expand in the cloud

By ERIKKA ASKELAND
Published on 19/02/2013 00:00

California-based cloud computing firm Rightscale, which last year acquired Edinburgh start-up PlanForCloud, has raised $15.6 million (£10m).

The company said it plans to use the funds to boost global 
expansion in sales and marketing as well as product development.

The deal makes PlanForCloud the second tenant of a fast-growing Edinburgh technology incubator to raise millions from international investors in recent weeks after fantasy sports game firm FanDuel raised $11m.

PlanForCloud, founded by two brothers from Aberdeen, has grown “significantly” since the acquisition, and has since taken up a larger space within TechCube to accommodate its growing workforce.

Co-founder Hassan Khajeh-Hosseini said: “We are helping the world recognise the benefits of cloud computing. If anyone wants to join us on our journey, get in touch.”

FanDuel, which is also based at TechCube, last month secured $11m in financing. FanDuel currently employs 40 staff in Edinburgh and New York, and is now set to grow to 75 staff by the end of the year.

TechCube, Scotland’s first privately run technology incubator, said it continues to welcome new start-ups and tech talent to the incubator, which offers grade-A office, hotdesking and co-working space. The building was formerly used by the Royal (Dick) School of Veterinary Studies until it was acquired by Robert McDowell in 2010.

Dr Jamie Coleman, managing director of TechCube, said: “I’m delighted at these multiple million dollar investments into TechCube companies. The standard of startups coming through Scotland now is truly world-class, and I congratulate all of the staff who have helped build incredible businesses.”