INSUBCONTINENT EXCLUSIVE:
Cloud services and the adoption of apps that rely on them continue to grow in popularity, but a persistent theme in enterprise technology
has been that a lot of organizations still continue to use legacy software and architectures, for reasons of cost, migration headaches and
simply because sometimes, if it ain’t broke, don’t fix it
That doesn’t mean they couldn’t benefit from a better way of integrating some of those workflows, and better leveraging the data coming
out of those different apps, and today a startup that’s built a service to help them do that has raised a growth round of
funding.Snaplogic, which has built an integration platform that lets enterprises bring in and integrate both legacy and cloud apps to better
monitor them and let them work together, has closed $72 million in growth financing, money that it will be using to expand its business
According to analysis from PitchBook, this latest funding comes at a $260 million pre-money valuation, which would work out to about $332
We are checking with Snaplogic to see if it can confirm those numbers directly.This latest round, which brings the total raised by Snaplogic
to $208 million, is being led by growth equity VC Arrowroot Capital, with participation also from Golub Capital and existing investors
Past investors are an illustrious group that has included a mix of financial and strategic backers such as Andreessen Horowitz, Vitruvian
(which led its previous round), Capital One, Ignition Parnters, Microsoft and a number of others.The company is not disclosing how big its
customer base is currently
In its last round in 2016, it had grown to 700 enterprises, adding 300 in just one year, which was an especially big amount of growth
Current customers feature a number of big names like Adobe, Verizon (which owns TechCrunch), AstraZeneca, Bristol-Myers Squibb, Emirates,
Schneider Electric, Siemens, Sony and Wendy’s
It describes the bigger integration market as a $30 billion opportunity.The defining characteristic in that list is that these are
businesses that pre-date the big cloud revolution, and so they are more likely than not grappling with a mix of new and legacy apps that
need to be balanced against one another, brought together in some instances to work together and harnessed in terms of their data to help in
a company’s wider efforts around big data for projects in areas like application integration, data integration, API management, B2B
integration and data engineering.“This is an exciting time for SnapLogic,” said Gaurav Dhillon, CEO at Snaplogic, in a statement
“We’re extremely proud to have built a modern and innovative solution that is solving really hard problems for our enterprise customers
This latest investment is a testament to the hard work and ongoing support of our customers, partners, and employees around the world
Together, we’ll continue to chart the way forward, making integration even faster and easier so enterprises can realize their data-driven
ambitions.”There has been an interesting wave of startups that have emerged specifically to tackle the opportunity of providing tools to
businesses that are still using old kit and older software to give them the ability to take advantage of new innovations in computing and
how to use their bigger pool of data
Others include Workato (which itself has raised money in the last year), MuleSoft (now a part of Salesforce) and Microsoft itself, and in
that context, Snaplogic has been taking a very measured approach in how it raises capital and expands.“Our approach is to do successive up
rounds with straightforward terms rather than chase a big slug with onerous terms,” Dhillon told TechCrunch once
He’s a repeat entrepreneur and has a track record of conservative but sound growth
“We built Informatica with just $13.5 million, so my approach is to raise funds as needed.”It’s an approach that is resonating with
“SnapLogic is attacking a huge and surging market opportunity with a uniquely modern and powerful platform,” said Matthew Safaii,
founder and managing partner at Arrowroot Capital, in a statement
“They’ve built an amazing product, work with an impressive roster of customers, and are led by an experienced executive team
As SnapLogic sets its sights on continued product leadership and global expansion, we look forward to partnering with them to help get their
pioneering integration platform into the hands of even more enterprises around the globe.”“SnapLogic is reinventing application and data
integration for the modern era,” said Robert Sverbilov, director at Golub Capital, added
“We are excited to support SnapLogic’s next generation SaaS application integration platform and to help secure its footing as a leader
in the iPaaS (Integration Platform as a Service) vertical.”
