Veeam Receives $500 Million in Investment

Veeam Software, Switzerland-based data management, and Backup solutions company, announced that it has raised $500 million investment from Insight Venture Partners and strategic investor Canada Pension Plan Investment Board (CPPIB).

Looks like 2019 has started with the big investment bang! This month Rubrik raised $261 Million investment in series E funding with $3.3 billion valuations and just recently, another cloud major Infor announced $1.5 billion investment ahead of its planned IPO. This development underlines that cloud and data management segments are still a hot investment.

Veeam will use newly raised funding to position Veeam Data Management solutions for the public and private cloud in $30 billion enterprise market. Veeam Availability Platform delivers agility, availability and business acceleration to customers across the globe and its software runs in on-premises and across multiple clouds. It also ships Veeam Backup & Replication product in data protection segment. The investment will help Veeam to accelerate expanding its geographical footprint and overall organic growth via mergers and acquisition (M&A) activity to expand into adjacent markets.
Veeam claimed approximately $1 billion in revenue and more than 325,000 customers. It is adding 50,000 new customers every year.

Executive Opinion:

Co-Founder and Executive Vice President (EVP), Sales and Marketing, at Veeam, Ratmir Timashev, said, “We have a long-standing relationship with Jeff Horing and Michael Triplett from Insight Venture Partners, having worked with them since 2002 when Insight invested in our first company, Aelita Software. Back then, we relied on Insight to provide strategic counsel and support, and after we sold that company to Quest Software in 2004, we continued our relationship. Over the years, Insight has been a trusted advisor to Bill Largent, Andrei Baronov and me, even acquiring a minority share in Veeam back in 2013. Today, Veeam is leading the data management space, with more than 325,000 customers, 60,000 partners, 82 percent of the Fortune 500 relying on our solutions, and with industry analysts heralding us as Leaders across all sectors; with Insight and CPPIB’s, investment I know we will take this to the next level.”

Managing Director at Insight Venture Partners, and member of the Board of Directors at Veeam, Michael Triplett, said, “Over the past decade, Veeam has established itself as the premier vendor for on-premises backup and recovery software, and is now No.1 in the market for providing data management for public and private cloud environments.  Only great companies like Amazon and Apple have been able to pivot into market leading positions in multiple markets, and Veeam now joins this elite group. Veeam has unparalleled leadership in terms of technology, vision and go-to-market strategies, which we believe will only further extend its No.1 market position.  Insight is thrilled to continue this journey with Veeam’s management.”

Vision and Acquisitions: 

The announcement also noted that the investment from Insight Venture Partners validates its leadership's vision to be the most trusted provider of Backup solutions that enable Intelligent Data Management. The newly raised investment will help Veeam to accelerate its organic growth via mergers and acquisition (M&A) activity.

Back in January 2018, Veeam acquired N2WS in an all-cash transaction deal valued at $42.5 million. N2WS software to deliver cloud-native enterprise backup and disaster recovery for Amazon Web Services (AWS).