Nearing $400M in revenue, Sprinklr raises funding at $2.7B valuation
Sprinklr Inc., a maker of cloud services that large enterprises use to manage their interactions with customers, has closed a $200 million funding round at a $2.7 billion valuation.
Sprinklr disclosed the investment this morning. The news crossed the wire within hours of another startup, cybersecurity specialist Snyk Inc., announcing its own $200 million raise at a similar valuation.
Founded in 2009, Sprinklr provides a set of five services for managing a broad range of customer-facing activities including marketing, technical support and product feedback collection. The five services have thousands of features between them, with the startup claiming it added over 1,500 in the past year alone.
For marketers, Sprinklr provides tools they can use to create promotional materials, launch ad campaigns and analyze the impact of their work. For customer care departments, the startup offers to speed up repetitive chores such as assigning support requests to team members. Sprinklr also offers machine learning capabilities across its product portfolio that help with tasks such as customer analytics.
Sprinklr’s vast array of features has helped it gain significant traction among large enterprises, which have expansive operational requirements and often favor broad product suites as a result. The startup counts among its customers nine of the world’s 10 most valuable brands, including Microsoft Corp. and McDonald’s Corp., plus about 1,000 others.
Sprinklr Chief Executive Officer Ragy Thomas told TechCrunch today that the startup expects to hit $400 million in annual revenue this year. In a separate interview with Forbes, Thomas said the plan is to take Sprinklr public within 12 to 18 months.
That means today’s funding round may be the last the startup raises as a private company. The $200 million investment was provided by private equity firm Hellman & Friedman, which has reportedly bought an additional $300 million worth of equity in secondary markets. Moreover, Sprinklr secured an $150 million more in convertible debt from Sixth Street Growth, which will have the option to turn the debt into equity when the startup goes public.
Sprinklr and Snyk’s funding rounds today follow another $200 million investment that was announced last month by Gong I.O. Ltd. Sequoia-backed Gong provides a platform that uses artificial intelligence to highlight ways companies can make their salespeople more productive.
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