journalfront

Veeam's $2B Secondary Sale Values Firm at $15B for Data Resilience

2024-12-04

Veeam, a renowned data security and recovery solution provider, has witnessed a remarkable spike in its valuation through a recent secondary sale. This move was aimed at strengthening the company's cap table ahead of its eventual IPO. The Insight Partners-backed firm announced on Tuesday that it had successfully raised $2 billion in the secondary share sale, valuing the company at an impressive $15 billion. TPG took the lead in this investment, with Temasek, Neuberger Berman Capital Solutions, and other prominent investors also participating. The sale is scheduled to close in Q1 2025.

CEO's Perspective on the Sale

Veeam's CEO, Anand Eswaran (pictured above), emphasized that although the company didn't necessarily need to raise capital, the timing was opportune to provide liquidity to the early investors and employees. Eswaran further stated that the company aimed to bring on strategic investors as it progresses towards its eventual IPO. However, he added that there is no fixed timeline for an exit yet. "Welcoming select blue-chip, top-tier investors was critical," Eswaran said. "For the next phase of our journey, having a diversified set of top-tier investors for significant milestones like an IPO is essential."

Use of Funds

The fresh $2 billion raised will be dedicated to bolstering the company's research and development team. This investment will enable Veeam to enhance its technological capabilities and stay at the forefront of the data resilience industry. Additionally, the funds will be utilized for potential acquisitions when the right opportunities arise. Eswaran highlighted that while the company doesn't have specific M&A goals, it is actively monitoring the market for potential acquisition targets. He mentioned areas such as companies with AI technology that can assist Veeam in scaling, data resilience businesses focused on workloads that Veeam is not currently involved in, and companies with complementary technologies.

Market Competition

When Veeam was founded 18 years ago, the data resilience sector was relatively less competitive. However, with the rise of both cloud and AI, the market has become more crowded. There are numerous other companies vying for a share in the enterprise data management space. For instance, Rubrik hit the public market with a $5.6 billion valuation earlier this year. Additionally, late-stage startups like Cohesity (which raised nearly $1 billion in venture capital) and Druva (which raised more than $475 million) are also making their mark. Eswaran believes that competition is actually beneficial as it drives the industry and all players to innovate at a faster pace.

Customer Base and Market Share

Based in Seattle, Washington, Veeam was founded in 2006 and has always been committed to data resilience and recovery. Its technology covers 150 different workloads, ranging from SaaS to AI. The company's customer base includes large corporations like Shell and Deloitte, as well as federal and local governments such as the City of New Orleans. Eswaran is confident that Veeam is currently the best platform, as evidenced by its number one market share. He stated that the oversubscribed round of the secondary sale has further validated the company's direction.

Stratos Jets has taken a significant step in the world of aviation by forging a partnership with Bitpay. This move aims to revolutionize the way charter payments are made, offering clients a range of benefits that were previously unavailable. The integration of cryptocurrency payments through Bitpay allows Stratos Jets to provide lower processing fees, faster transaction times, and an exclusive discount of up to 5% on all charter flights paid in cryptocurrency throughout December 2024. This is a major milestone for the company, as it positions them at the forefront of the luxury air travel industry.

Unparalleled Service and Infrastructure

Joel Thomas, the president and CEO of Stratos Jets, emphasizes the company's pride in its strong partnerships with leading luxury air carriers, robust infrastructure, and dedicated personnel. He states, "Stratos Jets takes great pride in delivering a world-class customer experience. By integrating cryptocurrency payments through Bitpay, we are able to expand these benefits to a broader audience, offering a seamless, secure, and advantageous payment option for clients who value luxury and cutting-edge solutions." This commitment to excellence is evident in every aspect of Stratos Jets' operations.

Acceptance of Over 100 Cryptocurrencies

Stratos Jets now accepts over 100 cryptocurrencies through its BitPay integration. This includes popular cryptocurrencies such as Bitcoin and Ethereum, as well as a wide range of other tokens. Customers can make payments seamlessly using the cryptocurrency wallet of their choice, providing an efficient and secure payment solution for transactions of all sizes. Whether it's chartering an ACJ 320 for international journeys or a Challenger 350 for short-haul flights, clients can now choose to pay in cryptocurrency with ease.

Seamless Accommodation of Business Volumes

Through its integration with BitPay, Stratos Jets can seamlessly accommodate any volume of business. This means that clients can take advantage of the company's luxury air travel services without having to worry about payment processing issues. Whether it's a large corporate charter or a personal trip, Stratos Jets is equipped to handle it all. The integration with Bitpay provides a seamless and secure payment solution that enables clients to focus on enjoying their flight.

Distinguishing Features in the Crypto Market

While many brokerages accept cryptocurrency, Stratos Jets distinguishes itself with its unparalleled service and infrastructure. As the market for crypto transactions continues to evolve, Stratos Jets is well-positioned to meet the increasing demand for secure and efficient payment solutions. The company's commitment to excellence and its focus on providing a world-class customer experience make it a leader in the industry. With the integration of cryptocurrency payments through Bitpay, Stratos Jets is set to grow and thrive in the years to come.

Jensen Huang, a renowned figure in the technological realm, has played a pivotal role in shaping the artificial intelligence landscape. With Nvidia Corp. NVDA currently boasting a market capitalization of $3.38 trillion and standing as the second-most valued company, his influence is undeniable.

Unraveling Huang's Insights on Technology and Beyond

Early Recognition of Cryptocurrencies

Jensen Huang's acumen as a true technologist was evident when he recognized the potential of cryptocurrencies and blockchains at a time when many in Wall Street were dismissive. During a CNBC interview with "Mad Money" host Jim Cramer, he famously stated, "Cryptocurrency will be here. The ability for the world to have a very low friction, low-cost way of exchanging value, it's going to be here for a long time." This foresight showcased his ability to identify emerging trends and their long-term significance.Huang went on to say that he expected blockchains to be the fundamental new form of computing. At the time he made these remarks, Bitcoin BTC/USD was valued at $7,165.70. If one had been swayed by his optimism and invested $1,000 in the digital asset, it would have fetched them 0.139 BTC. Today, the price of one Bitcoin has soared to $96,550.85, resulting in a staggering 1,247% return on investment. This remarkable growth highlights the accuracy of his initial prediction and the potential of cryptocurrencies.

Impact on Nvidia's GPU Business

When Huang made these remarks, Nvidia's graphic processing units (GPU) were in high demand in the cryptocurrency mining sector. He bet on cryptocurrencies becoming an "important" driver of its GPUs in the future. However, in the fast-paced world of technology, things change rapidly. GPUs were eventually surpassed by the much faster and more efficient application-specific integrated circuits. Today, most major cryptocurrencies like Bitcoin and Litecoin LTC/USD are mined with ASICs instead of GPU rigs. This shift in the mining landscape has had implications for Nvidia's business, but it also demonstrates the dynamic nature of the technological industry.

Current Market Status

At the time of writing, Bitcoin was trading at $95,897.38, down 0.29% in the last 24 hours, according to data from Benzinga Pro. This shows the volatility of the cryptocurrency market and the need for continuous monitoring and adaptation. Despite the fluctuations, the potential of cryptocurrencies remains significant, and Huang's early insights continue to shape the industry.In conclusion, Jensen Huang's journey in the technological world is a testament to his vision and ability to predict trends. His role in Nvidia and his views on cryptocurrencies have had a profound impact on the industry, and his influence is likely to continue in the years to come.