UPDATED 18:02 EDT / NOVEMBER 07 2017

CLOUD

Jitterbit banks $25 million investment as API frenzy continues

Application program interface orchestration startup Jitterbit Inc. today said it raised $25 million to boost sales and services as well as to strengthen its international presence.

The Series C funding round was led by global investment firm Kohlberg Kravis Roberts & Co., which led the company’s previous funding round nearly two years ago.

Jitterbit is a 12-year-old data integration company that has seen its fortunes brighten with the surging popularity of APIs as a preferred way for companies to exchange data automatically in a controlled and secure manner. Companies in the emerging market for “integration platform as a service” create cloud platforms that speed up and simplify the process of connecting cloud services both within and outside an organization.

Grand View Research Inc. expects the IPaaS market to reach $2.7 billion annually in 2025, up from $575 million today. Interest in the category was boosted by Google LLC’s $625 million acquisition of Apigee Inc. last year.

Jitterbit said it saw a record growth in the first half of this year, buoyed by such new customers as Allstate Insurance Co., Rutgers University and United Way Worldwide. Renewal revenues also reached record levels and the company’s net retention rate now stands at 105 percent, reflecting increases in the size of existing contracts.

Jitterbit said the latest funding round was oversubscribed and so was limited to existing major investors. It brings the company’s total funding to $50 million, including a seed round of $5 million raised in 2014 from partners that include Salesforce Inc., Autodesk Inc. and Primera Capital LLC.

Image: MorgueFile

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