Edison Ventures invests $9M in Providence’s Andera for company growth

PROVIDENCE – Andera, provider of online customer software for banks and credit unions, has received a $9 million investment from Edison Ventures to help grow sales, marketing and product development, the company said Monday.

Edison, a late-stage capital investor, typically provides between $5 million and $10 million as either a sole or lead investor. Andera confirmed that there are other investors in the company but did not disclose their names.

Andera’s products help 425 financial institutions drive growth in marketing, customer acquisition, account opening, funding and cross-selling. Its software allows financial institutions to open and fund new accounts in a five-minute online process.

“Andera has profitably expanded its business … in the toughest banking climate we’ve ever seen,” said Michael Balmuth, general partner at Edison Ventures, who headed the investment team.

Andera was recently selected for PBN’s Innovation of the Year award in information technology for expanding its online customer activation service to also allow clients to use its software for loan applications. Also, Javelin Strategy & Research gave Andera a “Best in Class” designation for customer acquisition solutions and the company ranked No. 1312 on Inc. Magazine’s 2010 Fastest Growing Companies list.

Edison has invested in 35 financial technology businesses and manages more than $650 million in investments; its active portfolio includes Archive Systems, Billtrust, In Person Payments and Liberty Tax.