Dallas- and Bengaluru-based o9 Solutions Inc, an enterprise artificial intelligence software firm, has raised $116 million from existing investors led by private equity firm General Atlantic’s climate-focused growth equity venture BeyondNetZero.
Existing investors KKR and Generation Investment Management also participated in the round, the company said in a statement.
The latest round values the company at $3.7 billion. This is up from $2.7 billion in January 2022, when the company raised $295 million from General Atlantic, Generation Investment Management and KKR at the height of the funding boom.
“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 validation of our performance and execution against our long-term strategy,” said Chakri Gottemukkala, co-founder and chief executive officer, o9.
o9 Solutions was founded by Gottemukkala and Sanjiv Sidhu. The company’s platform allows businesses in planning and decision-making by driving demand and optimising demand and supply. It has clients such as food and beverage company PepsiCo, tech giant Google, and Budweiser brewer Anheuser-Busch InBev, among others, who use its artificial intelligence-based solutions for planning and analytics.
Of o9's total 2,500 employees, more than 1,500 are based in India working in R&D, client success, and delivery roles. The company has offices in Bengaluru and Coimbatore in the country.
"The additional investment will allow us to accelerate market share in verticals where we already have a strong client base, as well as open doors to new sub-industry verticals and geographies," the company said.
As a part of the transaction, General Atlantic operating partner Gary Reiner has joined the o9’s board of directors.
“We continue to be thrilled with o9’s customer value proposition, offering material and measurable outcomes relative to traditional planning software vendors and thereby providing strong blue chip client satisfaction,” said Reiner.
The company, which was started in 2009, entered the unicorn club after it raised its first external round, securing $100 million from KKR in 2020.
The latest investment round comes on the back of the company reporting a 55% year-on-year growth in its annual recurring revenue in the last quarter. It didn’t disclose the absolute numbers.
