CloudHealth Technologies has been seeing strong revenue growth—and now the South Boston company has raised $12 million in Series B funding to accelerate its sales.
The round was led by prominent Silicon Valley venture firm Scale Venture Partners, and also included existing investors .406 Ventures and Sigma Prime Ventures. Ariel Tseitlin, of Scale Venture Partners, will be joining CloudHealth’s board of directors. CloudHealth has now raised $19.7 million since its founding in late 2012.
CloudHealth operates in the space of IT service management (or ITSM), but for the cloud era. The company says its software lets customers manage their cloud infrastructure for less money and effort. The focus is on serving large companies and technology companies; among CloudHealth's customers are Amtrak, Fiksu, Veracode and Acquia.
In a news release, Tseitlin said that these types of companies face increased complexity of managing cloud-based services in a time of rapid change. "Traditional IT management tools just don’t work in this new model," he said in the release.
Much of the new funding will be used for hiring. CloudHealth currently employs 30 and plans to double the number to 60 by the end of this year, a company spokesperson said. Top priorities for 2015 will be adding to its engineering, marketing and sales departments. CloudHealth is also planning additional integrations with other technology providers.
Cloud photo by Kyle Alspach.
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