SAN JOSE – Cohesity, a developer of hyperconverged secondary storage, has raised $250 million in an oversubscribed Series D funding round led by the SoftBank Vision Fund with participation from strategic investors Cisco Investments, Hewlett Packard Enterprise (HPE), and Morgan Stanley Expansion Capital, along with early investor Sequoia Capital and others.
The investment is a testament to Cohesity’s leadership in transforming data center and cloud operations with web-scale simplicity for secondary data. This round brings total equity raised to $410 million, outpacing all other Series D enterprise software investments in the United States over the last 18 months. This is only the second time SoftBank Investment Advisers has invested in an enterprise software company.
Cohesity plans to use the investment to power large-scale global expansion by attacking a problem that enterprises currently spend an estimated $60 billion each year to address using separate point solutions.
The company said it has over 200 new enterprise customers that have signed up in just the last two quarters, including Air Bud Entertainment, AutoNation, BC Oil and Gas Commission, Bungie, Harris Teeter, Hyatt, Kelly Services, LendingClub, Piedmont Healthcare, Schneider Electric, the San Francisco Giants, TCF Bank, the U.S. Department of Energy, the U.S. Air Force, and WestLotto.
Cohesity says annual revenues surged 600 percent from 2016 to 2017.
“Cohesity pioneered hyperconverged secondary storage as a first stepping stone on the path to a much larger transformation of enterprise infrastructure spanning public and private clouds,” said Deep Nishar, senior managing partner, SoftBank Investment Advisers. “We believe that Cohesity’s web-scale Google-like approach, cloud-native architecture, and incredible simplicity is changing the business of IT in a fundamental way.”
“My vision has always been to provide enterprises with cloud-like simplicity for their many fragmented applications and data – backup, test and development, analytics, and more,” said Cohesity CEO and Founder Mohit Aron. “Cohesity has built significant momentum and market share during the last 12 months and we are just getting started. We succeed because our customers are some of the world’s brightest and most fanatical IT organizations and are an extension of our development efforts.”