Egnyte Secures $29.5 Million in Funding, Notably From Seagate

Egnyte, Inc., provider of file-sharing platform for the enterprise, has closed its $29.5 million Series D funding round with participation from Northgate Capital Group, strategic partners Seagate Technology LLC and CenturyLink, along with additional support from existing investors Google Ventures, Kleiner Perkins Caufield & Byers, and Polaris Partners.

The funds will be used to help the company expand globally, as well as make strategic investments in product development, sales and marketing.

Egnyte’s revenue has doubled year-over-year for the past two years and the company expects to more than double revenue ending 2013.

Its expansion of the enterprise file-sharing market underscores the demand for a platform that provides companies with comprehensive file sharing, sync, and storage capabilities while also enabling complete control over data and user access. Egnyte addresses these needs with a single platform, providing the ability to securely access 100% of data, including the estimated 60% of files that are too sensitive to “go to the cloud”.

Egnyte powers file access and file sharing for its more than 40,000 customers around the world on more than 30PB of data stored across the cloud and 20,000 on-premise storage devices.

“We are extremely excited to receive this infusion of capital from our new and existing investors,” said Egnyte CEO and founder Vineet Jain. “They clearly recognize the market opportunity and believe that Egnyte is strategically positioned to build on the rapid growth and success we’ve already achieved.  This new funding will help fuel our global expansion plans, which include a move to our new 30,000 square-foot US headquarters, as well as the opening of a UK office early next year.”

“We were impressed by the combination of Egnyte’s consistent financial performance, growing customer momentum and enterprise ready platform so we see compelling potential in Egnyte’s market strategy,” said Northgate managing partner Brent Jones. “We’re very excited to invest as we firmly believe that Egnyte is the best strategically positioned company to fully meet the needs of the enterprise file sharing market moving forward.”

Investments from Seagate and CenturyLink validate Egnyte’s platform approach and the mainstream market readiness for enterprise file sharing solutions.

“We believe the enterprise cloud storage space is a key element of the future storage fabric,” said Rocky Pimentel, president, global markets and customers, Seagate. “After considering enterprise file sharing providers in the market, we were impressed with Egnyte’s technology and enterprise customer success.”

In addition to these strategic partners, the round included participation from an unnamed major storage vendor.

Some of Egnyte’s recent customer wins include Cracker Barrel, Garda, H.D. Smith, IKEA, Tommy Hilfiger and Yerba Buena Center for the Arts.