CloudBees lands $245M in new financing to innovate enterprise software delivery
Enterprise-focused software delivery platform CloudBees Inc. said today that it raised $150 million in a new funding round at a $1 billion valuation, plus an additional $95 million debt facility to accelerate product growth.
The Series F funding round was led by client vehicles advised by Goldman Sachs Asset Management, with new investments from Morgan Stanley and Bridgepoint Capital. Existing investors HSBC, Golub Capital and Delta-v Capital also joined in the round.
CloudBees was founded in 2010 with the vision of empowering developers by streamlining the path from idea to production. The platform automates everything by permitting the management of release workflows for everything and anything as code. Using it, developers create and curate a self-service library of pipelines and processes for the entire software lifecycle.
“Even before the pandemic, we were discussing the digital transformation story and evolution of the industry. This story has only accelerated over the past 12 to 18 months, making software the foundation for the world’s enterprises,” Stephen DeWitt (pictured), CloudBees’ chief executive, told SiliconANGLE. “We see software delivery driving every component of our lives. From how we vote to how we bank to how we listen to music – it touches every aspect of our life. As this trend takes hold and the DevOps category consolidates, our focus is on building the most comprehensive end-to-end development platform for the large enterprise.”
In the company’s decade-long history of providing software delivery expertise for enterprise clients, CloudBees has become the go-to provider for large-scale organizations such as Autodesk Inc., Capital One Financial Corp., Fidelity Investments Inc., the U.S. Air Force and the U.S. Citizenship and Immigration Services.
According to CloudBees, its roster now includes 21 customers with annual recurring revenue exceeding $1 million.
Since the company’s previous $26 million funding round in 2018, CloudBees has maintained growth by increasing its staff by 70%, to more than 500. The company also announced numerous acquisitions to bolster its products including CodeShip and Electric Cloud, both of which boosted software delivery, as well as Neuralprints, which provided the underlying technology for CloudBees Compliance.
The biggest portion of the new financing will be allocated to the company’s products, Sacha Labourey, CloudBees co-founder and chief strategy officer, said in a statement.
“We are a product company and this is how we make our customers thrive,” said Labourey. “We will also be doing big investments in the [user experience] across our offering. As software delivery practices mature, our customers are increasingly uninterested in ‘legacy’ DevOps market silos/segmentations. They ultimately care about their overall ‘jobs to be done,’ cross-cutting through multiple tools.”
DeWitt added that the investment round would also be used to “attract and grow talent and expand globally,” especially increasing the company’s footprint in markets such as Asia Pacific and allowing the company to build further regional partnerships.
In the evolving landscape of the enterprise and the ever-increasing pressure to develop and deliver new functionality rapidly, continuous integration and delivery tools from that foundation. Right now, code underpins almost everything people do from interacting with the government to entertainment, from getting groceries to talking on the phone.
According to DeWitt, the purpose of CloudBees is to provide its enterprise customers the ability to innovate in a software-first society, and that innovation is happening continuously.
“The future of continuous delivery is continuous everything,” DeWitt said. “We know that continuity matters in the software delivery lifecycle. For enterprise companies, this means being able to bring tens of thousands of developers into an aligned process, and being able to deploy innovation with the confidence that you are able to scale it, secure it, and deliver it with a level of quality that meets your objectives. This is fundamental to continuous everything.”
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