Coveo Pulls in $18 Million in Funding
Coveo secured $18 million in funding, in a round led by Tandem Expansion Fund, Canada's largest late-stage technology investment firm. All major existing investors also participated in the round, including BDC Venture Capital, Propulsion Ventures SEC, and Fonds de solidarité FTQ.
The funding will support Coveo's expansion as the market continues to heat up for solutions that enable actionable insight from big data. Coveo's advanced search technology redefines how people access fragmented information and collaborate around the social enterprise.
The company has grown significantly during the past several years, including several year-over-year quarters in 2012 of 80 to 100 percent growth in license revenue, and has been operating at or close to profitability. This funding will be used to expand Coveo's sales and marketing efforts, and to help scale operations in advance of anticipated hyper growth.
Coveo recently launched Coveo for Salesforce, a cloud-based application integrated into the Salesforce.com UI which brings the collective knowledge to every Salesforce user, delivering actionable insights for every customer interaction. Coveo automatically recommends content relevant to what the user is working on, whether that is an account, a lead, an opportunity, or a case. It consolidates fragmented information from across a variety of cloud-based and social platforms, or on-premises databases or systems.
"Our investment philosophy is to find great companies at a stage where they are ready to take their growth to the next level. Coveo has invested heavily in its technology, the market timing is a perfect storm for solutions that enable greater insight into highly fragmented data, and its customers rave about the ROI of the technology. We think Coveo is about to experience explosive growth," said Andre Gauthier, managing director of Tandem Expansion Fund, in a statement.
"Companies are struggling mightily with big, fragmented data, and are recognizing the need for powerful information access and consolidation technologies like never before," said Luis Tetu, chairman and CEO of Coveo, in a statement. "This is a major shift brought on by the need to better engage with customers, ensuring that every customer experience is more relevant and additive. The goal of the social enterprise is to connect customers and people at the center of all operations, and this is what Coveo enables through information."