Andreesen Horowitz and Access Industries invest $50 million in cloud platform Digital Ocean⁠ making it a unicorn heading for an IPO

• DigitalOcean has raised $50 million in a Series C funding round led by Access Industries, with participation from Andreessen Horowitz.
• With this the US-based company’s value shoots up to $1.15 billion.
• In India, the company has clients like OYO, Zerodha, NoBroker, Rapido etc.

DigitalOcean, the US-based cloud infrastructure provider, has raised $50 million in a Series C funding round led by Access Industries, with participation from American private equity giant Andreessen Horowitz.

With this DigitalOcean’s value shoots up to $1.15 billion. DigitalOcean through its developer cloud platforms helps developers, startups and small and medium businesses simplify modern app creation.

The eight-year old company has over 500,000 customers globally and $300M in annual recurring revenue.In 2016, DigitalOcean launched in India with a datacenter in Bengaluru. In India, the company has clients like OYO, Zerodha, NoBroker, Rapido etc.

“We see this capital as adding strength to our balance sheet enabling us to better serve our customers’ demand for our platform, especially during COVID-19 where we are seeing an acceleration of businesses transitioning to the cloud,” said Yancey Spruill, CEO at DigitalOcean.

With this round, Spruill said that the company is now focussing on “accelerating revenue growth, transitioning to free cash flow profitability in 2020 and positioning the company ultimately to be a public company.” Earlier in February 2020, the company had raised $300 million in debt financing.

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