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Validity Sensors Inc., a San Jose, Calif.-based biometric company that makes fingerprint sensors, has raised $20 million in fourth-round funding. TeleSoft Partners led the deal, and was joined by Qualcomm Ventures, VentureTech Alliance, Ram Shiram, Marc Benioff (SalesForce.com CEO) and Atiq Raza (Taza Microelectronics CEO). The company has now raised $55 million in total VC funding since 2002. http://www.validityinc.com/

AirWalk Communications Inc., a Richardson, Texas-based provider of IP radio access network infrastructure, has raised $15 million in second-round VC funding. Sevin Rosen Funds led the deal, and was joined by return backers TLVentures, Alta Berkeley and Duchossois Technology Partners. http://www.airwalkcom.com/

OB10, a UK-based e-invoicing company, has raised £7.3 million in new VC funding from existing shareholder FF&P Private Equity. http://www.ob10.com/

Sugar Publishing, a San Francisco-based blog publisher, has raised around $5 million in VC funding from Sequoia Capital. News of the deal first appeared here, with GigaOm and TechCrunch reporting the specific dollar amount. http://www.popsugar.com/

eCourier, a UK-based express courier company, has raised £2 million in venture capital funding from Logispring. http://www.ecourier.co.uk/

GuidePoint Systems, a Pontiac, Mich.-based provider of telematics solutions for the automotive aftermarket, has raised an undisclosed amount of second-round private equity funding from Plymouth Venture Partners. It also secured a new senior credit facility from Comerica Bank. http://www.guidepointsystems.com/

Golden Gate Capital has agreed to acquire Sierra Systems Group Inc. (TSX: SSG) for Cnd$9.25 per share, or approximately Cnd$93.2 million. Sierra Systems is a Vancouver–based provider of IT and business consulting services to public and private organizations in North America . http://www.sierrasystems.com/

Marlin Equity Partners has closed on its acquisition of XKO Software Ltd, a unit of XKO Group PLC that provides ERP software to SMEs in the building supply chain, wholesale distribution and other specialist product markets. The deal was valued at up to £15 million. www.marlinequity.com http://www.xko.co.uk/

Garnett & Helfrich Capital has acquired a majority interest in Celunite Inc., a Sunnyvale, Calif.–based provider of open-mobile platform software. No financial terms were disclosed. www.celunite.com DynTek Inc. (OTC BB: DYNK) has acquired the operating assets of TekConnect Corp., a Cherry Hill, N.J.-based tech integration and consulting firm focused on the K-12 education market. No financial terms were disclosed, except that TekConnect has 12-month trailing revenue of approximately $7.1 million. TekConnect had raised around $5 million in VC funding, including a $2 million round from Greenlight Private Equity Partners. http://www.dyntek.com/ http://www.tekconnect.com/

The Carlyle Group and Providence Equity Partners have agreed to acquire Open Solutions Inc. (Nasdaq: OPEN), a Glastonbury, Conn.–based provider of enabling technologies for financial institutions, for $38 per share. The total deal is valued at over $1.3 billion, including the assumption of debt. http://www.opensolutions.com/

Fat Spaniel Technologies Inc., a San Jose, Calif.–based provider of critical IT infrastructure for the distributed generation industry, has raised $7 million in Series A funding. DFJ Element led the deal, and was joined by Chrysalix Energy. http://www.fatspaniel.com/

Empruntis.com, a France-based online broker of financial products like mortgages and insurance, has sold a 40% ownership stake to 3i Group for €32 million. http://www.empruntis.com/ http://www.3i.com/

Verizon Communications (NYSE: VZ) is likely to spin off its directories business instead of selling it, according to The New York Times. The pending decision is based on unfavorable tax implications of a sale. http://www.verizon.com/

Steelpoint Capital Partners has acquired The Internet Marketing Center Inc., a Blaine, Wash.-based provider of Internet marketing information, software and consulting services for small and mid-sized businesses. No financial terms were disclosed, except that IMC has over $20 million in annual revenue. http://www.steelpointcap.com%20www.theinternetmarketingcenter.com/

Inflexion Private Equity has sponsored a £24 million management buyout of Parasol Ltd., a UK-based provider of tax and regulatory services for self-employed workers and independent contractors. Inflexion provided £9.4 million in equity, while HSBC provided a 12 million leverage package. http://www.inflexion.com/ http://www.parasolit.co.uk/

Microsoft Corp. (Nasdaq: MSFT) has acquired Colloquis Inc., a New York–based provider of conversational online business solutions that feature natural language-processing technology. No financial terms were disclosed. Colloquis had raised VC funding from firms like Dawntreader Ventures and Reuters. http://www.microsoft.com/ http://www.colloquis.com/

Reflex Security Inc., an Atlanta–based provider of network intrusion prevention solutions, has raised $12 million in Series B funding. Spencer Trask Ventures led the deal, and was joined by RFT Inv*stment Co. http://www.reflexsecurity.com/

Guruji.com, an Internet search engine focused on the Indian market, has raised $7 million from Sequoia Capital India. http://www.guruji.com/

BillTrust, a Windsor, N.J.-based provider of outsourced billing solutions, has raised $4 million from Edison Venture Fund. http://www.billtrust.com/  

Circle 1 Network Inc., a Milwaukee-based operator of educational and entertainment websites for children, has raised $1.3 million in VC funding from GCI and local angels. http://www.circleonenetwork.com/

Greystripe Inc., a San Francisco-based distributor of ad-supported mobile games and applications, has raised $1.2 million in Series A funding from Monitor Ventures, Incubic Venture Capital and WS Investments. http://www.greystripe.com/

eHealth Inc., a Mountain View, Calif.-based online health insurance provider, priced five million common shares at $14 per share ($10-$12 range), for an IPO take of approximately $70 million. It will trade on the Nasdaq under ticker symbol EHTH, while Morgan Stanley and Merrill Lynch served as co-lead underwriters. The company had raised around $86 million in VC funding, from firms like Sprout Group, Kleiner Perkins Caufield & Byers, Lightspeed Venture Partners, QuestMark Partners and Lake Street Partners. http://www.ehealthinsurance.com/

Abode Systems Inc. (Nasdaq: ADBE) has acquired the vector graphics technology developed by Actimagine, a France–based developer of video and interactive vector graphic software. No financial terms were disclosed. Actimagine is backed by GRP Partners. http://www.adobe.com/ http://www.actimagine.com/

Zebra Imaging Inc., an Austin, Texas–based developer of 3D holographic visualization tools, has raised $5.93 million in Series C funding, according to a regulatory filing. Backers include SAIC Venture Capital Corp., Sierra Ventures, Nuevo Private Equities, Ford Motor Co. and Voyager Capital. http://www.zebraimaging.com/

Newstep Networks Inc., a Toronto-based provider of convergence solutions for carriers and enterprises, has raised US$2.86 million in new Series B funding, according to a regulatory filing. Shareholders include Newbury Ventures, Bell Canada , BDC Capital and Vengrowth Capital. http://www.newstep.com/  

MI5 Networks Inc., a Sunnyvale, Calif.-based provider of anti-spyware solutions, has raised Series A funding from First Round Capital. http://www.mi5networks.com/

France Telecom has completed a sale of its 54% stake in directories company PagesJaunes for around €3.3 billion, to a private equity consortium that includes KKR, Goldman Sachs Capital Partners, AXA Private Equity and Eurazeo. http://www.pagesjaunes.fr/

Ping Identity Corp., a Denver–based provider of Internet identity technology for enabling secure business collaboration, has raised $13 million in Series C funding. Appian Ventures led the deal, and was joined by return backers Draper Fisher Jurvetson, General Catalyst Partners, Fidelity Ventures, SAP Ventures and I-Vent. http://www.pingidentity.com/

Intent MediaWorks Inc., an Atlanta-based digital media distribution company, has raised $1.2 million in Series A funding, according to a regulatory filing. Backers include Menemsha Capital Partners and IMW Partners. http://www.intentmediaworks.net/

Google Inc. (Nasdaq: GOOG) has agreed to acquire online video-sharing company YouTube Inc. for approximately $1.65 billion in stock. YouTube had raised $11.5 million over two rounds of VC funding, from Sequoia Captial and hedge fund Artis Capital Management. www.google.com www.youtube.com

Cellfish Media LLC, a New York–based developer and distributor of content for mobile phones, has raised $50 million in VC funding from Trio Capital, Telecom Media Fund (Caisse de depot et placement du Quebec) and an affiliate of Desjardins Venture Capital. Cellfish is a subsidiary of France-based Lagardere group. www.cellfishmedia.com

Ripe Digital Entertainment, a Los Angeles-based provider of video-on-demand digital entertainment, has raised $32 million in Series B funding. Backers include Hearst-Argyle, Time Warner Investments, Columbia Capital and Rho Ventures. www.ripedigital.com

3VR Security Inc., a San Francisco-based developer of video management systems for surveillance, has raised $15 million in Series C funding. DAG Ventures led the deal, and was joined by return backers Kleiner Perkins Caufield & Byers, VantagePoint Venture Partners and In-Q-Tel. www.3vr.com

RevCube.com, a San Francisco-based provider of software for automating online marketing relevancy, has raised $14 million in Series C funding. VantagePoint Venture Partners led the deal, while return backers include Generation Partners and Transcosmos. www.revcube.com

InforSense Ltd., a London-based provider of enterprise real-time analytics, has raised $10 million in new VC funding. Existing shareholders Fleming Family & Partners Private Equity and Imperial Innovations Group co-led the deal. www.inforsense.com

Intelliworks Inc., a Rockville, Md.-based provider of CRM solutions for higher education, has raised $10 million in Series B funding. RedShift Ventures was joined by return backers Columbia Capital and Novak Biddle Venture Partners. www.intelliworks.com

Agiliance Inc., a Mountain View, Calif.-based provider of security risk and compliance management solutions, has raised $6.5 million in Series B funding. Walden International led the deal, and was joined by Red Rock Ventures. www.agiliance.com

Smalltown, a San Francisco-based user-generated content site for local communities, has raised $3 million in Series A funding from Formative Ventures. www.smalltown.com

CambridgeSoft Corp., a Cambridge, Mass.-based provider of enterprise solutions for the life sciences market has raised $2 million in second-round funding from existing shareholder Edison Venture Fund. Proceeds were used to repurchase stock from company founders. www.cambridgesoft.com

LeadPoint Inc., a Los Angeles-based online leads exchange marketplace, has raised $2 million in Series A funding from the European Founders Fund. The company previously had raised around $5 million from Redpoint Ventures. www.leadpoint.com

Vysr Inc., a Palo Alto, Calif.-based provider of “online communications Web services,” has raised $1.5 million in Series A funding led by Sand Hill Group, according to a regulatory filing. The company is being run by Tetlier co-founder Guda Venkatesh.

CSIdentity Corp., an Austin, Texas-based company focused on preventing identity theft, has secured around $1.13 million of a $2.5 million Series A round, according to a regulatory filing. Backers include Mandelbrot Ventures, BF Private Capital and the Five H Fund. www.imissary.com

Celiro Inc. (a.k.a. Phonezoo), a Sunnyvale, Calif.-based provider of ringtone software, has raised $560,000 in Series A funding, according to a regulatory filing. Backers include Continental Capital Corp. www.phonezoo.com

Equifax Inc. (NYSE: EFX) has acquired Austin-Tetra, an Irving, Texas-based provider of B2B data management solutions for Fortune 1000 companies and government agencies. No pricing terms of the all-cash deal were disclosed. Austin-Tetra had raised $3.5 million in private funding from Southwest Mezzanine Inv*stments. www.Equifax.com  www.austintetra.com

DoctorsDirect.com Inc., a Santa Monica , Calif.-based company that allows users to book doctor’s appointments online, has raised $2.5 million in Series A funding led by Spark Capital. The company is led by former MapQuest chief Tommy McGloin. www.doctorsdirect.com

3point5 Inc., a Salt Lake City-based provider of online retail sales training, has raised $1.5 million in Series B funding, according to a regulatory filing. Backers include vSpring Capital, Huffman Capital Partners and Longbow Holding Co. www.3point5.com

ExaProtect, a France-based provider of core security event management, has agreed to acquire Solsoft Inc., a Mountain View, Calif.-based provider of security policy management solutions. No financial terms of the deal were disclosed, except that it is supported by VC backers of both companies. ExaProtect shareholders include CIC Innovation and Elaia Partners, while Solsoft has raised around $46 million from firms like CITA Gestion, Carlyle European Venture Partners, Credit Agricole Private Equity, Innovacom, Intel Capital, Logispring, Rothschild Ventures, Sofinnova Partners and VSPA. www.exaprotect.com www.solsoft.com

VNU Group BV has offered to acquire the 39.5% of NetRatings Inc. (Nasdaq: NTRT) that it does not already own, for $16 per share. VNU is controlled by a private equity consortium that includes AlpInvest Partners, Blackstone Group, Carlyle Group, Hellman & Friedman, KKR and Thomas H. Lee Partners. www.vnu.com www.netratings.com

Kenexa Corp. (Nasdaq: KNXA) has agreed to acquire BrassRing LLC, a Waltham, Mass.-based provider of talent management solutions. The deal is valued at approximately $115 million, including $10 million in net cash, and is expected to close later this quarter. BrassRing has raised around $183 million in total VC funding since its 1999 inception, including a $15 million 2001 deal with a $144 million post-money valuation, and a $40 million down-round in 2002 at a $75 million post-money valuation. Backers include Accel Partners, Gannett Co., Kaplan, Tribune Co. and the Washington Post Co. www.kenexa.com www.brassring.com

Avolent Inc., a San Francisco–based provider of self-service electronic billing and payment software, has raised $9 million. RBC Technology Ventures led the deal, and was joined by return backers like Columbia Capital, Constellation Ventures and Rho Ventures. Avolent has raised over $120 million in total VC funding since 1998. www.avolent.com

Get Lower Inc., an Irvine, Calif.-based online provider of real estate financing services, has raised $3 million in Series A funding from Miramar Venture Partners, according to a regulatory filing. www.getlower.com

MSpot Inc., a Palo Alto, Calif.-based provider of audio and video entertainment to mobile phones, has raised $2.33 million in Series A funding led by Trinity Ventures, according to a regulatory filing. www.mspot.com

Voddler Inc., a Palo Alto, Calif.-based virtual cable television system developer, has raised around $2.2 million in VC funding, according to a regulatory filing. Backers include Freja Ventures ( Sweden ) and Lotsa SA ( Luxembourg ). www.voddler.com

Yelp Inc., a San Francisco-based provider of localized social networking and directory services, has raised $10 million in second-round funding from Benchmark Capital. It raised $5 million last year in a Series A round led by Bessemer Venture Partners.

Wyplay SAS, a France-based developer of “all-in-one” home entertainment boxes, has raised €4 million from Sofinnova Partners.

Zannel Inc., a Menlo Park, Calif.-based mobile media startup, has raised $6 million in Series A funding co-led by U.S. Venture Partners and Palomar Ventures.

B5Media Inc., a Toronto-based blogging network, has raised US$2 million in VC funding from Brightspark Ventures and JLA Ventures.

CityVoter Inc., a Cambridge, Mass.-based developer of online city guides for media companies, has raised $1.1 million in Series A funding led by Tudor Ventures.

General Atlantic is among the private equity firms in talks to acquire listed HR software provider Northgate Information Solutions PLC, according to The Independent newspaper. The deal could be valued is excess of $1 billion, with the company confirming that it has received “a number of unsolicited approaches.”

Serena Software Inc., a San Mateo, Calif.-based provider of change governance software, has agreed to acquire Pacific Edge Software Inc., a Bellevue, Wash.–based provider of project and portfolio management solutions. No financial terms were disclosed for the deal, which is expected to close later this month. Serena Software is a portfolio company of Silver Lake Partners, while Pacific Edge has raised over $44 million in VC funding from firms like Fluke Venture Partners, Northwest Venture Associates, Sequoia Capital, Stanford University, Foundation Capital, Dain Rauscher Corp. and Newbury Ventures.

Fonality Inc., a Culver City, Calif.-based provider of IP telephony systems for small and medium businesses, has acquired TrixBox, an online forum in which users can discuss open-source telephony and download Asterisk-based software. No financial terms were disclosed. Fonality raised $5 million in Series B funding last year led by Azure Capital Partners. 

JumpTap Inc., a Cambridge, Mass.-based provider of mobile search and advertising solutions, has raised $22 million in Series C funding. Valhalla Partners led the deal, and was joined by return backers General Catalyst Partners, BCE Capital and Redpoint Ventures. 

Lendia Inc., a Marlborough, Mass.-based provider of outsourced solutions to financial institutions that originate residential mortgages, has raised an undisclosed amount of private funding from 1848 Capital Partners.

ExlService Holdings Inc., a New York-based provider of business process outsourcing solutions, has set its proposed IPO terms to five million common shares being offered at between $10 and $12 per share. It plans to trade on the Nasdaq under proposed ticker symbol EXLS, with Citigroup and Goldman Sachs serving as co-lead underwriters. The company was acquired in 2002 from Conseco Inc., via a management buyout sponsored by Oak Hill Capital Partners and Financial Technology Ventures.

Xerox Corp. (NYSE: XRX) has agreed to acquire XMPie Inc., a New York–based provider of variable information software. The deal is valued at $54 million in cash, and is expected to close within 30 days. XMPie has raised around $9 million in VC funding from JVP. 

I-Flex Solutions ( Bombay : IFLX.BO) has completed its previously-announced acquisition of Mantas, a Herndon, Va.-based anti-money laundering and compliance software, from Safeguard Scientifics. The deal was valued at $122.6 million, and was be partially financed via a new $125 million investment in I-Flex from Oracle. 

Openwave Systems Inc. (Nasdaq: OPWV) has acquired SoloMio Corp., an Austin, Texas–based provider of integrated subscriber call management services. No financial terms were disclosed. SoloMio had raised over $26 million in VC funding from firms like Austin Ventures, Koch Ventures, Partech International, Gemplus and Techxas Ventures.