Cohesity's valuation shoots up
Cohesity's company valuation has increased significantly since last year, the company announced today: the data management organisation is now worth US$3.7 billion — an increase of $1.2 billion over the last 12 months.
The valuation was established in line with a US $145 million tender offer made by investors to Cohesity employees who want the option to sell a small portion of their equity for liquidity.
Cohesity says the drastic growth is in part credited to the surging engagement with cloud computing and solutions in the wake of the pandemic, with many companies around the world turning to modern multicloud data management services.
"We are pleased to enable this liquidity opportunity for our employees," says Cohesity founder and CEO Mohit Aron.
"We believe the oversubscribed, non-dilutive tender offer based upon this increased company valuation speaks volumes about Cohesity's performance and future outlook as the leading, modern data management company.
The valuation comes as Cohesity reports results from its fiscal second-quarter ending Jan. 31, 2021. The company saw significant year-over-year growth in annual recurring revenues, a surge in customer wins globally, and an increasing number of customers spending $5 million or more in total lifetime spend on Cohesity software. Cohesity also saw traction across its partner and service provider ecosystem.
"Cohesity is firing on all cylinders with significant increases in annual recurring revenues, exceptional customer and partner momentum, and impressive growth in overall customer spend," says STEADFAST Capital Ventures managing director and head of venture capital Karan Mehandru.
"The company also continues to introduce software innovations that are transforming data management – including Data Management as a Service. This game-changing SaaS technology provide new opportunities for midsize and enterprise customers to simplify data management and do more with their data.
"At STEADFAST, our goal is to partner with exceptional entrepreneurs building iconic and durable companies that are built to last, and our partnership with Mohit and the Cohesity team is a shining example of that strategy at work.
Premji Invest managing partner Sandesh Patnam says Cohesity's performance continues to disrupt the data management market.
"The Cohesity Helios multicloud data platform uniquely empowers organisations to manage their data easily, mitigate the risks of ransomware attacks, eliminate infrastructure silos, and solve mass data fragmentation.
"Given Cohesity's continued innovation, excellent NPS customer support scores, strong leadership, and vision for the future, we are very optimistic about Cohesity's continued success in the market. We believe the new valuation is a fraction of the value Cohesity will be worth long-term."
