Arsenal Digital Solutions has closed a round of non-equity financing totaling $11 million.

Arsenal, which achieved positive earnings in May of this year, has now raised a total of $86 million of equity and debt funding.

Steve Horan, senior vice president and chief financial officer of Arsenal, says the company will use the latest round of funding to support expansion efforts.

“The funding will be a catalyst for market expansion as we continue to execute on our mission to provide the most trusted and cost-effective data protection and business continuity services for our partners and customers,” Horan said. “This funding also reflects the ability not only to grow the top line but to manage the operating cycle as well.”

In March, Arsenal raised $10.5 million in a Series D round of equity financing that included Southeast Interactive Technology Funds, Covestco and TaskUSA. The same group of investors, plus MCNC, provided the company with $23 million in December 2001.

Arsenal, founded in 1998, is a provider of data protection and business continuity services in North America. With 24 locations in 18 cities, Arsenal serves, with its partners, more than 800 customers. The Cary-based company delivers its outsourced storage management services through providers such as AT&T and Redundant Networks.

Arsenal Digital: www.arsenaldigital.com