Israeli data recovery company, Zerto has raised an additional US$20 million in Series E1 financing led by Charles River Ventures, an early-stage venture capital fund. The latest round also saw the participation of its existing investors who believe that “Zerto can crack good market opportunity.”
The disaster recovery-as-a-service (DRaaS) provider will use the financing to maintain the company’s consistent, year-over-year, 100%+ sales growth with further expansion in key international regions and industries, as well as product development.
Ziv Kedem, CEO, Zerto, said:
“Knowing that the financing market can change at any time, we felt that the opportunity to partner with CRV was one that we couldn’t refuse. This additional financing enables us to continue long-term growth and product development untethered by incremental funding needs.”
“We are now able to focus on expanding product features targeted at making BC/DR simpler and more effective for companies making moves to the cloud who must ensure that critical operations are maintained regardless of any outage, be it natural, criminal, or common error,” Kedem added.
CRV’s participation in the Series E1 round comes from the belief that the cloud and business continuity and disaster recovery (BC/DR) market will upscale rapidly, as well as Zerto’s customer growth and substantial list of satisfied users.
“We expect to see a massive market opportunity for companies that deliver services to accelerate cloud adoption over the next few years. Zerto is addressing the rapidly expanding needs of the increasingly cloud-dependent enterprise. We have partnered with Zerto due to their clear leadership in this fast growing market, and we are excited to be a part of their growth story,” said Murat Bicer, General Partner, Charles River Ventures.
In the first quarter of 2016, Zerto ventured into the healthcare and financial services owing to the increased demand for effective, hardware agnostic and cloud agnostic BC/DR software to help maintain compliance in highly regulated industries.
Zerto’s Cloud Continuity Platform helps organizations move and protect virtualized workloads between public, private and hybrid clouds. The company’s flagship product, Zerto Virtual Replication also caters to protection, recovery and migration of applications in cloud and virtualized data centers.
This is Zerto’s second big financing this year, with the US$20 million financing adding to the US$50 million growth financing led by Institutional Venture Partners (IVP) in early January 2016, bringing Zerto’s total Series E financing to US$70 million. The company claims to have raised US$130 million in financing till date.