Nutanix Nets $101 Million in Funding
January 15th, 2014 By: John Rath
Converged infrastructure solutions provider Nutanix has closed on a $101 million Series D financing, co-led by Riverwood Capital and SAP Ventures. The company has now raised a total of $172.2 million in four rounds of funding. Nutanix CEO Dheeraj Pandey has said that this will be the last round of private funding, but a timetable has not yet been set for issuing an IPO.
The new funds will help accelerate the company’s global expansion, boost investments in research and development, expand service delivery capabilities and grow the sales, marketing and support teams.
“Nutanix is one of a very small class of companies that is transforming the way enterprises deliver IT,” said Jeff Parks, founding partner of Riverwood Capital. “We are very excited to partner with Dheeraj Pandey and his world-class management team as they build the next-generation enterprise computing company.”
Nutanix is now well capitalized to service the needs of global enterprise customers with backing from top Silicon Valley venture capital firms and numerous strategic investments. Parks, a founding partner of Riverwood Capital and former executive at Kohlberg Kravis Roberts & Co., has been named to the Nutanix board of directors. In a separate appointment, industry veteran Mike Scarpelli, CFO of ServiceNow and former CFO of Data Domain, have also been named to Nutanix’s board of directors.
Nutanix has won the business of 13 customers who have purchased more than $1 million of products within two years of launching its Virtual Computing Platform. Due to an aggressive global expansion strategy, international sales now account for 33 percent of the business and the company has shipped product to more than 30 countries in the last six months.
Leading enterprises including eBay, McKesson, Toyota, Orange Business Services and Hyundai Hysco have adopted Nutanix as their preferred infrastructure platform for running high-performance virtualized workloads. These organizations seek the simplicity, scalability and efficiency of web-scale data centers to power their private cloud environments.
“Nutanix represents a significant improvement to the simplicity of large scale datacenter architecture,” said Drew Trieger, virtualization architect at eBay. “We had considered alternative solutions from established players as well as newer companies, but none could match the combination of performance, compact footprint, ease of use and flexibility of the Nutanix platform. Today’s investment round validates our decision to choose Nutanix and ensures they will continue to deliver innovative solutions to our datacenter challenges for years to come.”
“Adoption of web-scale computing, and Nutanix’s Virtual Computing Platform in particular, has grown explosively over the last two years, yet we’ve only scratched the surface of this $100 billion hybrid computing market,” said Dheeraj Pandey, CEO of Nutanix. “The additional support from such a high-quality investor group leaves us uniquely positioned to capitalize on the opportunity and build one of the elite companies of this decade.”