o9 Solutions raises $116 mn from existing investors; valuation at $3.7 bn

o9 Solutions, an artificial intelligence software platform provider, announced that its existing investors, led by General Atlantic subsidiary BeyondNetZero, have invested an additional $116 million in the company. Existing investors KKR and Generation Investment Management also participated in the round.

The company said in a statement that the 9 investment values ​​at $3.7 billion, up from $2.7 billion since the company’s last investment round in January 2022. The company has a presence in Bengaluru and Coimbatore in India, although it is based in the United States.

The company’s valuation increase comes at a time when several unicorns have seen their valuations drop in the Indian startup ecosystem.

“The investment by our existing investors on top of our recent financing round and against the backdrop of an overall downturn in market valuations is a continued validation of our performance and execution against our long-term strategy,” said Chakri Gotimukala, co-founder and CEO of o9 Solutions. “We will continue our strategy of customer satisfaction and innovation as drivers of effective growth across industry segments and markets.”

The investment follows a period of 9 years of continuous performance, including a 55% year-over-year increase in annual recurring revenue (ARR) as of the second quarter of 2013. The company also reported annual growth in ARR of 67% as of the first quarter of 2013 and a growth of 65% in 2022, the statement said.

In conjunction with the deal, Bangalore-based o9 also announced that General Atlantic operating partner and business executive Gary Reiner has joined the company’s board of directors. Reiner joined General Atlantic in 2010 and provides strategic support and advice to the company’s technology investment teams and portfolio companies.

“We continue to be thrilled with our fantastic customer value proposition, delivering truly measurable and tangible results relative to traditional planning software vendors and therefore delivering superior customer satisfaction,” said Gary Reiner, Operating Partner, General Atlantic. “Since we partnered with o9 in early 2022, the company has helped deliver significant revenue growth, working capital improvements and expense reductions for many large global companies.”