Maranon Capital provided $38 million in financing for the Novacap Technologies III purchase of data security firm PKWARE Inc. when the Canadian private equity firm bought out the company and installed a new chief executive.

Maranon also invested $4 million in equity in the transaction; Novacap partner Pierre McMaster said the debt provided by the PE firm was all of the senior and mezzanine debt needed to complete the deal.

Earlier this year, it was announced that Novacap Technologies III would buy PKWARE for terms undisclosed. Wisconsin investment bank Grace Matthews advisory services to PKWARE and invested in the transaction through an affiliate. Garrett Investments LLC contributed $1 million in equity and PKWARE executives also took a stake in the company under the terms of the new transaction.

Maranon does not take control positions; instead, with $500 million in capital, the Chicago-based firm makes minority investments and lends.

Montreal-based Novacap has historically supported tech deals; the private equity firm has investments in Cable-Axion, a fiber optics provider at the US-Canada border, Metro Canada Logistics, a third-party provider of warehousing and inventory organization and data management and Stingray Digital, a karaoke machine and digitized music content organizer. The firm also has more than a dozen other investments in companies across a number of industries.

V. Newton Miller was named earlier this month the president and chief executive of PKWARE. Previously, he served as CEO of Monster, the global job search Web site. He also served as an executive for TMP Worldwide, the marketing company that developed Monster and worked to bring TMP public in 1996.

Newton also served as chief executive of Netkey, a signage and retail software firm.

PKWARE is based in Wisconsin with offices also located in New York, Ohio and the UK.

Calls seeking comment were not returned by press time.

Technology