Domo Inc., the business-software company started by Omniture Inc. founder Josh James, raised $125 million from backers including TPG Growth and Fidelity Investments, gaining public-market investors as it boosts sales.
The deal, which James said values the American Fork, Utah-based company at $825 million, also included capital from T. Rowe Price Group Inc. (TROW), Salesforce.com Inc. and Morgan Stanley, the company said today in a statement.
Institutional investors are clamoring for a piece of emerging cloud software companies that are taking market share from traditional vendors like Oracle Corp. (ORCL), Hewlett-Packard Co. and SAP AG, where growth is muted. Domo provides business intelligence tools for computers, smartphones and tablets that help companies see and share data like segment sales, inventory, costs by geography and performance of salespeople.
“We spent our first two years developing a product to change the face of enterprise software and to change the speed of business,” James said in the statement. “This additional capital will enable us to further expand sales as quickly as possible.”
Domo is at least the 10th North American business technology company to raise $100 million or more in a financing round in the past year, according to Bloomberg data. TPG Growth, a unit of private-equity firm TPG, is taking a board seat as part of today’s investment.
Online storage provider Dropbox Inc. raised $250 million last month at a $10 billion valuation, in a transaction led by BlackRock Inc., according to a person with knowledge of the deal. Also in January, Nutanix Inc., which makes technology for data centers, raised $101 million from investors including SAP Ventures and Morgan Stanley Expansion Capital.
With the new capital, Domo has raised more than $250 million. The company has signed about 500 customers, which include Xerox Corp., National Geographic and H&R Block Inc., according to its website. Sales are growing between 25 percent and 40 percent every quarter, according to the statement.
Prior to starting Domo in 2010, James founded and ran online ad measurement company Omniture, which he sold to Adobe Inc. for $1.8 billion in 2009.
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