Redwood City-based Alation Inc., which focuses on enterprise data intelligence, has raised $123 million in Series E funding. This brings the company’s total funding to $340 million, and the unicorn has been valued at more than $1.7 billion.
The round was led by Thoma Bravo, Sanabil Investments (which recently backed another Silicon Valley firm, Classera), and Costanoa Ventures, with participation from new investor Databricks Ventures. Existing and other investors also participated in the round, including Dell Technologies Capital, Hewlett Packard Enterprise (HPE), Icon Ventures, Queensland Investments, Riverwood Capital, Salesforce Ventures, Sapphire Ventures and Union Grove.
The new capital will accelerate Alation’s growth and global expansion and drive innovation in its strategic products as demand for its data intelligence platform soars. This financing will further strengthen and enhance Alation’s leadership in the market.
“We raised $123 million as we want to continue investing and giving our customers the best-in-class data intelligence experience they deserve,” said Alation CEO and co-founder Satyen Sangani. “The confidence of our investors reassures us that Alation is the leading data intelligence platform and we are well positioned to capitalize on opportunities in our expanding market.”
Robert (Tre) Sayle, Partner at Thoma Bravo, said: “Data intelligence is a rapidly growing market and Satyen and his talented team have built a leading platform trusted by businesses around the world. We are delighted to lead Alation’s Series E funding round. , and supports the company’s continued impressive business growth, product innovation and market leadership.”
A spokesperson for Sanabil Investments said: “Sanabil is proud to support a high-quality business with a world-class team, product offering and execution capabilities. By serving nearly 450 corporate clients and generating over $100 million in ARR, Alation Demonstrated its ability to scale and drive adoption of a data culture across industries. We are delighted to lead Alation’s Series E round with Thoma Bravo and Costanoa, demonstrating investor confidence in Alation’s ability to succeed as a leader in data intelligence.”
“As soon as we saw it, we knew Alation had great promise,” said Greg Sands, founder and CEO of Costanoa Ventures. “We are proud to lead this funding round with Thoma Bravo and Sanabil and to support Alation in advancing data intelligence.”
“We are excited to invest in and deepen our longstanding partnership with Alation,” said Andrew Ferguson, vice president of corporate development and venture capital at Databricks. “More than ever, a company’s data is one of its most important assets. With Alation, data teams can better understand the trusted data in the lake repository that can be used to drive business value through analytics and AI/ML .”
What Challenge Does Alation Tackle?
The data integration and intelligence software market is reported to be worth over $7.9 billion and will grow to $11.6 billion over the next four years. Clearly, companies collect vast amounts of data to track and understand shopper behavior and manage supply chains, inventory, sales, customer service, and more.
To turn raw data into actionable insights, organizations need a data intelligence platform to collaboratively find, understand, trust and use data.
California-based Alation was founded in 2012 by Satyen Sangani, Aaron Kalb, Feng Niu, and Venky Ganti, and serves companies including AbbVie, Cisco, General Mills, Munich Re, Nasdaq, Pfizer, Raiffeisen Bank, Salesforce, The Nearly 450 corporate clients, including Very Group, Vattenfall, Virgin Australia and more, have addressed this issue.
The company uses its signature software, Alation Data Catalog, to organize and consolidate its data. Its solutions focus on data governance, analytics and data management.