Turin Networks, a Petaluma, Calif.-based telecom equipment maker, apparently is struggling, and looks to have taken between $26 million and $35 million financing at worse terms than previously.

Called a recapitalization round, this sort or refinancing typically lowers the value of the company, so that new investors have an incentive to invest. A lower value means they get a larger share of ownership for every dollar they invest.

VentureWire and PE Week report the different numbers today ($26 versus $35 million), citing regulatory filings, likely because the company has drawn money in stages. Both reports agree that total planned new financing is about $50 million.

The company was not responding to requests for comment on the recap, so there’s no details on the company’s new value. Advanced Equities is leading the deal, with return backers including Tudor Ventures, Tellabs, DCM-Doll Capital Management, Sequoia Capital, Baker Capital and Motorola Ventures. Turin previously has raised around $190 million in total VC funding since 1999, according to PE Week.

VentureWire reports:

For the last two years the company has “plateaued” in terms of revenue from its focus on smaller service providers. With telecom companies once again spending money to build up their networks, Turin is in a good position to move up the food chain, said Dixon Doll, co-founder and general partner of DCM and a director of Turin Networks…. Acquisitions will probably be a part of the company’s strategy as it moves into larger markets, Doll said.