Actifio raises $100 million, valuing company at $1 billion
March 24, 2014
Data storage technology firm Actifio has raised $100 million in new funding, one of the largest investment deals for a privately held Boston tech firm in recent years.
The round valued the Waltham company at $1 billion, higher than a number of publicly traded tech firms in the Boston area, including Brightcove (BCOV), Constant Contact (CTCT), and Care.com (CRCM).
In fact, Boston rarely has had a venture capital-funded tech firm achieve a billion-dollar valuation prior to going public. Out of the 20 venture-backed US firms that sported billion-dollar valuations in 2012, just one had a major presence in Boston at the time (Kayak).
Actifio founder and chief executive Ash Ashutosh said the company raised the funding to accelerate its growth, particularly its global expansion, and to help potential customers feel assured about the viability of the company. Some companies have been looking at spending several million dollars with Actifio over the course of several years, he said.
“We decided we wanted to solve the viability issue and also to double down on investing,” Ashutosh said. “So either we could go public, but we’re not quite ready for that one yet — plus there’s really no need without much competition — or we could raise $100 million at a $1 billion valuation.”