Backup solutions player Veeam Software has announced that Insight Venture Partners has invested $500 million with strong participation from strategic investor Canada Pension Plan Investment Board (CPPIB) to accelerate the next phase of Veeam’s growth as the top provider of Data Management solutions for the public and private cloud. The firm will leverage Insight Venture Partners’ internal business strategy arm, Insight Onsite, and capital to accelerate its expansion through both organic growth and M&A activities.
Veeam is one of the largest privately held software companies in the world, with approximately $1 billion in sales and more than 325,000 customers, adding 50,000 new customers every year. The company has been growing organically over the last 12 years in a rapidly expanding cloud data management market that enterprises annually spend an estimated $30 billion to address. Testament to this growth, Veeam said it touches more production environment workloads than any other systems management company in the market.
“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,” said Ratmir Timashev, co-founder and executive vice president (EVP), Sales and Marketing, at Veeam. “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.”
“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,” said Michael Triplett, managing director at Insight Venture Partners, and member of the Board of Directors at Veeam. “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.”
Insight Venture Partners’ investment validates the vision and direction laid out by Veeam’s executive leadership team – to be the most trusted provider of Backup solutions that enable Intelligent Data Management, and, through the Veeam Availability Platform, deliver Agility, Availability and Business Acceleration to customers across the globe. Leveraging Insight Venture Partners’ expertise, the investment will enable Veeam to accelerate its growth trajectory through both organic growth – i.e. portfolio innovation and expanding its geographical footprint – and via M&A activity which will drive Veeam’s expansion into adjacent markets.
Pursuant to the terms of this investment Insight Venture Partners’ managing director, Michael Triplett, will join Veeam’s Board of Directors.