Cohesity Closes $250 Million Funding Round, Including Support From HPE, Cisco
The new round brings total funding in Cohesity to over $650 million, and gives the channel-focused storage vendor a total valuation of $2.5 billion.
Storage and data management technology developer Cohesity Thursday said it closed a Series E round of funding worth $250 million.
With the new round, Cohesity has closed multiple funding rounds totaling over $650 million, giving the company a total valuation of $2.5 billion, which it said is double its valuation of June 2018, when Cohesity closed its $250 million D-round of funding.
Cohesity is a channel-focused provider of a single web-scale data management platform to help businesses manage the vast majority of their data coming from backups, file shares, object stores, and test/dev and analytics.
Leading the round were several venture fund providers including DFJ Growth, Foundation Capital, Greenspring Associates and Wing Venture Capital. Also participating were Baillie Gifford Sozo Ventures, Sequoia Capital and SoftBank Vision Fund 1.
Strategic investors in this round included Hewlett Packard Enterprise and Cisco Investments.
In the nearly two years since Cohesity's last funding round, the San Jose, Calif.-based company has transitioned to a software-only business model.
The company also said that, during the first half of its fiscal year 2019, from August to January, it saw recurring revenue grow 150 percent compared with the same period of last year. During that time, Cohesity also saw a 100 percent increase in customers and in data under management, and a 135 percent increase in the number of new and existing customers licensing Cohesity's cloud capabilities.
Cohesity plans to use its new funding to invest in research and development to build new capabilities to serve its enterprise customer base while also investing in broadening its reach and awareness and extending relationships with alliances and partners.
Cohesity founder and CEO Mohit Aron said in a statement that closing a major funding round during the current economic uncertainty is testament to the promise Cohesity's investors see in the company.
"More enterprises globally are abandoning legacy offerings in favor of our modern, software-defined approach to data management that is incredibly simple to use—critical during these challenging times as customers are looking to reduce total cost of ownership while enabling remote IT teams," Aron said in the statement.