AI platform provider o9 Solutions received $116 M funding, valued at $3.7 B
Enterprise artificial intelligence (AI) software platform provider o9 Solutions, based in India, announced on Wednesday that its current investors, led by BeyondNetZero of General Atlantic, have increased their stake in the business by $116 million.
In addition to new investors, the round included existing investors KKR and Generation Investment Management, according to a statement from o9 Solutions.
O9 is now valued at $3.7 billion, an increase from the company’s previous investment round in January 2022 when it was valued at $2.7 billion.
“The investment by our existing investors at a premium to our last funding round and against a backdrop of an overall pullback in market valuations is continued validation of our performance and execution against our long-term strategy,
“We will continue our strategy of client satisfaction and innovation as a driver of efficient growth across industry verticals and markets,” said Chakri Gottemukkala, Co-Founder and Chief Executive Officer of o9 Solutions.
The investment comes after o9 Solutions continued to outperform the market, with annual recurring revenue (ARR) growing by 55 percent as of the second quarter of 2023.
Additionally, as of the first quarter of 2023, the company reported 67 percent year-over-year ARR growth and 65 percent growth in 2022.
In connection with the deal, o9 Solutions also revealed that Gary Reiner, a General Atlantic Operating Partner, and tenured business executive, has joined the board of directors of the business and will bring extensive knowledge at the nexus of technology, strategy, and operations.
Reiner joined General Atlantic in 2010 and offers portfolio companies and the firm’s technology investment teams strategic support and advice.
He spent almost 20 years as Senior Vice President and Chief Information Officer at General Electric before joining General Atlantic. He was a Partner with The Boston Consulting Group before that.
Reiner also sits on the boards of several publicly traded companies, such as Citigroup and Hewlett-Packard Enterprise.
“We continue to be thrilled with o9’s terrific customer value proposition, offering truly material and measurable outcomes relative to traditional planning software vendors and thereby providing strong blue chip client satisfaction,” said Gary Reiner, Operating Partner at General Atlantic.
“Since we first partnered with o9 in early 2022, the company has helped deliver significant revenue growth, working capital improvements, and expense reductions for many large global enterprises,
“Our deepened support of o9 reflects the enthusiasm we have for the business and its seasoned management team, particularly as their innovative model supports the transition to more sustainable supply chains across the enterprise. We look forward to our continued partnership,” he added.
