Reston software engineering firm Raft LLC has received more than $60 million in new funding to build out its product line and hire more senior executives to bring in business.
Arlington private equity firm Washington Harbour Partners LP announced the strategic investment in the 6-year-old government contractor Wednesday.
Led by lawyer, data scientist and founder Shubhi Mishra, Raft is a digital engineering consulting firm for federal and defense customers working on national security challenges. The startup has grown rapidly since its inception and today has more than 250 employees at its Reston headquarters and remotely. Currently, it pulls in around $100 million in revenue annually, a spokesperson said, adding that revenue has roughly doubled every year since its founding.
Washington Harbour invests in Series B to pre-IPO companies working in cybersecurity, government, defense IT, consumer technology and enterprise software, according to its website.
The investment in Raft — which had never received outside funding before this — comes after Washington Harbour Partners indicated it has raised more than $20.2 million across two new funds, according to filings with the Securities and Exchange Commission earlier this year.
“We are incredibly excited to continue to support Raft’s vital role in national security,” said Jerad Speigel, operating partner at Washington Harbour, in a statement Wednesday.
As it aims to accelerate its growth, Raft has a flurry of senior-level hires to make, from chief financial officer to chief growth officer, head of emerging tech and head of marketing — all new roles for the startup. It also plans to hire more business development professionals to help Raft reach new markets and customers.
Mishra, a Washington Business Journal 40 Under 40 honoree in 2022, will continue to lead Raft and remains a significant shareholder in the business, the companies said.
Morrison & Foerster served as legal adviser to Washington Harbour and PwC served as its financial adviser on the deal. Holland & Knight served as the legal adviser to Raft.
