Cloud Security Company Veracode Gains $30 Million In Funding


Veracode, a Burlington, Mass.-based cloud security company, said it has received $30 million in venture funding and added two executives to its lineup.

The company, which provides testing and security software-as-a-service, will receive the funds from Meritech Capital Partners and existing investors Atlas Venture, .406 Ventures and StarVest Partners.

Joining the company are Ed Jennings, who becomes executive vice president of sales, marketing and services, and Greg Nicastro, who joins as executive vice president, product strategy and development.

Nicastro was previously chief executive officer of My Perfect Gig, of Lexington, Mass., which offered predictive analytics and search technology in the human resources field. Before that, he headed product management and systems development at Iron Mountain, a Boston, Mass.-based information management and data protection company.

Jennings, before joining Veracode, was deputy vice president and general manager at business process outsourcing provider ADP, of Roseland, N.J. Before that, he was president and chief executive officer of Copanion, of Andover, Mass., offering automated tax services.

The funds will be used to hire more employees as the company continues to grow, said CEO Bob Brennan in an interview. Veracode revenue reached $20 million in 2011 and Brennan said he expected it to double in 2012.

Veracode hired 47 employees in the first quarter and plans to add another 75 workers through the year, he said.

Brennan said that as part of its growth strategy, Veracode will increase its channel activity.

The company is increasing the number of partners, which now includes professional services company KPMG, of Amstelveen, Netherlands; cloud services provider Rackspace; Dimension Data, the Johannesburg, South Africa-based systems integrator; and Cigital, a security service consulting firm based in Dulles, Va.

“We’re ready to scale revenue and the distribution, development and deployment of our services,” Brennan said.