FriCSo - Friction Control Solutions Ltd. has raised $5 million in second financing round, led by Aviv Venture Capital. Israeli investment institutions and carmakers also participated in the round. Aviv Venture Capital owns 20% of the company, which has a value of $20 million, after money.
Founded three years ago, FriCSo has raised $8 million to date, including the latest financing round. The company is developing technology to minimize friction between moving parts in engines, transmissions, ball bearings and other systems, thereby extending the lifespan of machinery. The company’s products are intended for the vehicle and heavy engineering equipment industries.
FriCSo was founded by CSO Dr. Boris Shamshidov and CTO Dr. Alexander Ignatovsky, both experts in tribology (the science of friction and ablation).
FriCSo’s technology saves energy, improves energy use, reduces the need for maintenance, and reduces pollution. The company’s product is basically a layer of resistant and stable liquid grease polymer that prevents contact between moving parts, thereby reducing friction. The technology also protects moving parts under conditions of heavy loading, which accelerates ablation, such as during acceleration and deceleration, rapid changes in speed and direction, and when there is a lack of grease in moving parts.
FriCSo’s technology eliminates the use of environmentally hazardous materials, including chrome and nickel, whose use will be banned under new US and European regulations, beginning in 2007.
Aviv Venture Capital managing partner Dr. Amir Guttman, a director of FriCSo, said, “FriCSo has made a technology breakthrough in huge markets. The company is initially focusing on the vehicle industry, which makes 150 million engines a year. The company’s business model is based on the sale of rights to use its technology and perishable processing tools manufactured with its technology. The company expects to begin sales during the fourth quarter of 2006.”
Published by Globes [online], Israel business news - www.globes.co.il - on June 5, 2006
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