August 12, 2008 (Hudson, Ohio)--ADRC Technologies, Inc. is pleased to announce the completion of a seed round of up to $1,000,000 in financing from Early Stage Partners, a Northeast Ohio Venture Capital firm. The investment enables ADRC to license a patent-pending control technology developed at Cleveland State University.
“The company will use the money for beta testing and economic evaluation with select Northeast Ohio manufacturers,” said Mr. Jim Dawson, a CSU alumnus and company President.
“Our goal for the next six-to-eight months is to advance from early development to full integration of our controls technology into today’s manufacturing systems,” Mr. Dawson said. “We’re excited about the technology and our ability to deliver a competitive edge to all manufacturers, large and small, starting in Ohio. We believe the technology will help manufacturers remain competitive in the global marketplace without moving overseas.”
Cleveland State President, Dr. Michael Schwartz said, “It is gratifying to see how higher education, finance and entrepreneurship can work together for the benefit of Northeast Ohio manufacturers through enhanced manufacturing technology. The combination of CSU’s research and development efforts and ARDC’s desire and ability to take state-of-the-art technology from concept to production will advance Ohio manufacturing to new heights.”
The controls technology was invented at Cleveland State University under the direction of Zhiqiang Gao, Ph.D., head of CSU’s nationally-recognized Center for Advanced Control Technologies. “The invention is the result of two decades of research and development at Cleveland State University,” said Dr. Gao. “We now have a solution that will make every machine in a manufacturing process perform better, use less energy, and be easier to operate. Since almost all products are made by machines, the potential benefits are rather obvious: better product quality, less energy and material cost, and higher productivity.”
Mr. Dawson commented, “We believe this new technology brings a competitive advantage to manufacturers on two fronts. Initial trials have shown great promise generating a double-digit percentage reduction in error, which improves on-specification production and overall equipment effectiveness. Savings from higher performance combined with simplified operation and maintenance activities can now be used to improve manufacturers’ competitive position in the global marketplace.”
Jim Petras, Managing Director of Early Stage Partners, said, “Industry has made incredible advances in computing power and sensor technologies, but today’s manufacturing processes and machine controls, believe it or not, are still based on a control technology from the 1920’s. With ADRC’s invention, the global marketplace will upgrade and Northeast Ohio is destined to become the epicenter of this revolutionary technology’s deployment. ADRC represents an excellent addition to our investment portfolio and an example of Early Stage’s move into the “instrumentation controls and electronics” or “ICE” market segment.”
About ADRC Technologies
ADRC Technologies is a Northeast Ohio company founded in 2006 to develop simple-to-use high-performance manufacturing control algorithms for a broad range of process equipment and manufacturing applications. Its patent-pending control technology makes plants more productive and profitable and its reduced complexity provides one solution to our nation’s looming skilled worker shortage noted by the U.S. Bureau of Labor Statistics, the National Association of Manufacturers, and others.
About Early Stage Partners
Early Stage Partners is an early stage venture capital firm based in Cleveland, Ohio. The company invests in promising opportunities in instrumentation and control technology, life sciences, advanced materials, energy, information technology, and electronics. The company's principals have over one hundred years combined experience in early stage company formation and development, with a significant network of relationships throughout the United State that can be used to attract management, develop strategic partnerships, and provide later stage funding.
About Cleveland State University
Cleveland State is a comprehensive metropolitan university committed to providing affordable education of high quality to approximately 16,000 students with diverse backgrounds, experiences, interests and needs. Located in downtown Cleveland with extended campuses in Westlake and Solon, Cleveland State offers degrees in hundreds of undergraduate and graduate programs and law, and professional development programs. Cleveland State reaches out to academically talented and highly motivated students through its Honors Program. And CSU’s faculty is among the best anywhere, with more than 90 percent holding the highest degree attainable in their field.