VeloCloud Network today announced that it has closed a $35 million Series D round of funding, led by Hermes Growth Partners. Round participants included new investors Telstra Ventures and Khazanah Nasional Berhad, the strategic investment fund of the Government of Malaysia (“Khazanah”),
in addition to existing investors, New Enterprise Associates (NEA), Venrock, March Capital Partners, Cisco Investments, and other undisclosed strategic investors.
The funding will be used to expand business, capacity and operations as the company accelerates new SD-WAN product development, supports larger customer rollouts, and dramatically increases sales and marketing in theaters worldwide. Today’s funding brings the company’s total funding to $84 million.
”We have been following the exploding SD-WAN space very closely and recognize its potential to transform enterprise WAN,” said Bobby Yerramilli-Rao, founder and partner at Hermes Growth Partners.
“We decided to invest in VeloCloud because of the company’s highly differentiated solution, superb track record with customers and exceptional management team.”
Since its last round of funding more than a year ago, VeloCloud has set several new records for sales, and has seen its number of SD-WAN sites grow to more than 50,000 and total customer wins exceed 600 including the two largest SD-WAN wins in the world. The company continued to extend its market leadership as the SD-WAN architecture of choice for leading service providers.
VeloCloud secured deals from AT&T, Sprint, Mitel, TelePacific, and Windstream for the “VeloCloud Cloud-Delivered SD-WAN for Service Providers” solution for both Network Integrated and Over The Top implementations.
In addition, VeloCloud continued work with its existing ecosystem of service provider partners, including Vonage, MetTel, EarthLink, and NetOne, to deliver the benefits of VeloCloud Powered SD-WAN for their customers.
“Telstra Ventures is very excited to join this round of VeloCloud funding,” said Mark Sherman, Managing Director of Telstra Ventures.
“Telstra and VeloCloud are completely aligned on the vision of delivering network agility and architectural flexibility to enterprise customers, and we see huge opportunities for both, especially in the Asia-Pacific region.”
VeloCloud CEO and Co-founder Sanjay Uppal added,
“We are experiencing significantly more growth than we even predicted as a stretch goal for VeloCloud Cloud-Delivered SD-WAN,”
“VeloCloud has broken away from the field with the industry’s largest number of customers, sites, and sales along with key strategic Service Provider partnerships. With this new round of funding we are able to stay well ahead of this new level of demand we are experiencing.”
VeloCloud Cloud-Delivered SD-WAN enables Enterprises to securely support application growth, network agility, and simplified branch and end-point implementations while delivering optimized access to cloud services, private datacenters and enterprise applications. Global Service Providers are able to increase revenue, deliver advanced services and increase flexibility by delivering elastic transport, performance for cloud applications, and integrated advanced services all via a zero-touch deployment and operations model. Both Enterprises and Service Providers benefit from the multi-tenant cloud gateway architecture and the ability to support real-time applications over private, broadband and wireless links.
Hermes Growth Partners (“HGP”) is a private equity firm that focuses on growth-stage companies in the telecom, media and technology (“TMT”) sectors globally. The firm’s primary objective is to help high-potential companies drive growth and create value. Thematically HGP focuses on enterprise companies benefiting from the shift to the cloud, the rise of mobile use cases and the adoption of data analytics in business process. HGP brings a combination of long-term capital, extensive operational management skills and financial asset management experience to each situation. In addition, HGP invests from an evergreen fund and as such views itself more as a long term strategic partner than a purely financial investor. For more information, visit here.