InvestNet lists its successes
Sitka Beverage found an investor through one of the investment conferences sponsored by InvestNet, Marshall said. Having secured additional equity, the company was able to secure a $5 million loan from First National Bank of Anchorage.
It is now coming back for a second round of equity financing through InvestNet, Marshall said.
Another success is Spectrum Wireless, an Anchorage-based firm that develops broadband fixed wireless Internet routers.
Six equity investments in Alaska firms have been confirmed through InvestNet, but there may have been others, Marshall said.
Alaska Growth Capital BIDCO Inc., a subsidiary of Arctic Slope Regional Corp., also can’t divulge its loans, said David Hoffman, its president. But two rural projects Hoffman can talk about include Adak Seafoods, a fish processing company started at Adak, where the Aleut Corp. is taking over a closed Navy base for commercial development.
Loans from Alaska Growth Capital helped Adak Seafoods get off the ground. The company was successfully started and has now been sold to Norquest, a Seattle-based processing company.
Another project helped by Alaska Growth Capital is Coastal Villages Seafoods Inc., which operates a fish processing plant in Western Alaska. The project is now in its third season.
Both of these projects created economic activity and private employment in remote communities, Hoffman said.
Between 1998 and 1999, Alaska Growth Capital’s loans to new businesses resulted in $6.9 million in new payroll in Alaska, of which $4.8 million in payroll was in minority-owned or rural businesses, according to the firm’s annual report for 1999.