Atlanta software company Katalon Inc. raised $27.6 million, according to a filing with the Securities and Exchange Commission.
Katalon is a spinoff company of KMS Technology, an Atlanta-based provider of offshore software development, testing and consulting. Katalon provides software test automation solutions to developers, which allows them to pilot software and more easily find and fix potential mistakes.
The round was led by Elephant Venture Capital, a Boston-based venture capital firm focused on enterprise software, consumer internet and mobile markets. Atlanta entrepreneurs David Cummings and John Hallett are also investors.
The round gives Katalon a capital runway for expansion plans, which include building out its go-to-market strategy and increasing product innovation.
KMS Technology, founded by Vu Lam and Josh Lieberman, has a reputation for producing successful technology companies.
QASymphony Inc., another software testing venture, was bought by Mountain View-based Tricentis in 2018. KMS also owns Grove HR, a human resources platform, and Kobiton, a mobile testing platform that raised $14 million last year.
KMS Technology has more than 1,000 employees, mostly in its Atlanta office at 1776 Peachtree and in Vietnam.
Katalon has about 100 employees and 75 open positions on its website. The company has about 100,000 clients worldwide and raised $1.1 million at the end of last year, according to an SEC filing.
Lam pivoted from CEO of KMS Technology to CEO of Katalon to focus more completely on that venture.
