Manchester, N.H.-based Dyn wants to make sure the enterprises of the world understand the importance of Internet performance management and why, for instance, a few minutes of downtime on your website could come with significant costs. So after scoring customers like Twitter and Netflix, the 15-year-old company has raised its largest funding round yet.
Dyn will announce on Tuesday that it has raised a $50 million Series B round led by private equity firm Pamplona Capital Management. The funding will be used to increase brand awareness and education around Internet performance management, hire field representatives to woo more enterprise customers and accelerate development of its new all-in-one platform. The company raised a $38 million Series A round back in 2012 after nearly 10 years of bootstrapping.
The company has already attracted some impressive customers, Kyle York, Dyn’s chief strategy officer, told BostInno, but this new funding round represents the company’s bid to become an even bigger player in what he described as the system infrastructure software-as-a-service market, which is estimated to reach over $10 billion next year.
York shared that the Dyn’s billing run rate is expected to exceed $100 million, and that the company is sharing the figure to show the size and scale at which it’s currently operating. In addition, the company's revenue has grown more than 70 percent over the last two years. The company currently employs 440 people, York added, with plans to reach 500 by the end of the year.
Dyn provides various Internet performance management services that can help companies optimize websites and keeping them running during peak traffic times, along with making sure visitors in a certain geographic region are being routed through a data center in that area.
“Dyn has built a strong franchise based on running the fundamental and critical Internet infrastructure needs for its brand name customers,” Justin Perrault, a partner at Pamplona who’s joining the company’s board, said in a statement. “With a track record of substantial growth, a burgeoning IPM market opportunity and a strong results-orientated management team, Dyn provides a unique and exciting investment opportunity for Pamplona as we grow our US investment presence.”
