Q: What are the terms of the UiPath Series D Funding round?
A: UiPath raised $568 million in its Series D funding, which was announced on April 30, 2019. The round was led by Coatue and joined by Dragoneer, Sands Capital, T. Rowe Price Associates, and Wellington. Previous investors Accel, CapitalG, IVP and Sequoia, among others, also participated in the round. The round valued UiPath at $7 billion, making it one of the highest-valued AI companies worldwide.
Q: How did you determine UiPath is one of the highest-valued AI companies worldwide?
A: Prior to UiPath’s announcement on April 30, 2019, China’s SenseTime was lauded the world’s highest-valued AI company after closing a $620M follow-on round with a valuation of $4.5 billion on May 30, 2018 (please see: here and here). With this Series D round, UiPath is valued at $7 billion -- now making it one of the highest-valued AI companies worldwide.
Q: Why did you raise the Series D after raising $265 Million in a Series C round?
A: UiPath closed an extension of its Series C financing in November 2018 with a strategic investment from IVP, Madrona Venture Group and Meritech Capital. With this extension added to the first closing of the Series C round announced in September 2018, UiPath’s Series C financing totaled $265 million at a valuation of $3 billion; it was led by CapitalG and Sequoia Capital.
We also indicated in November 2018 that our business exceeded $150 million in annual recurring revenue. We are pleased to announce that in a few short months, it now has exceeded $200 million – making UiPath one of the fastest growing enterprise software companies in history. As a result, our business growth has largely funded our operations. Looking forward, we still have aggressive plans that we believe can be best executed with additional funding, while ensuring our commitment to customer success during this unprecedented growth. Our big picture investment areas include:
Q: How do you plan to use the additional funds?
A: More specifically, UiPath plans to use the additional funds as follows:
Q: Does this mean UiPath is one step closer to an IPO?
A: Our focus is on raising capital as needed to sustain our commitment to our customer's success and workforce education while we continue exponential growth.
We are practicing what it takes to be a public company today, including implementing public company caliber financial accounting, processes and controls and building the industry’s strongest management team that includes executives from HP, Microsoft, NetApp, Nutanix, and SAP.
Q: What are the comments of UiPath investors around Series D?
A: “UiPath is improving business performance, efficiency, and operation in a way we’ve never seen before,” said Philippe Laffont, founder of Coatue Management. “The Company’s rapid growth over the last two years is a testament to the fact that UiPath is transforming how companies manage their resources. RPA presents an enormous opportunity for companies around the world who are embracing artificial intelligence, and will drive a new era of productivity, efficiency and workplace satisfaction.”
“UiPath is enabling the critical capabilities necessary to advance how companies perform and how employees better spend their time,” said Greg Dunham, vice president at T. Rowe Price Associates, Inc. “The industry has achieved rapid growth in such a short time, with UiPath at the head of it, largely due to the fact that RPA is becoming recognized as the paradigm shift needed to drive digital transformation through virtually every single industry in the world.”
Q: Where can customers and partners go to learn more about UiPath and our investments?
A: We recommend customers and partners see our progress first-hand. We continue to host UiPath Together events in most geographies every quarter. Our global event UiPath Forward will invite customers and partners from all over the world and will be held October 14-16 in Las Vegas. Please register here to see the future of RPA+AI in action. Contact your UiPath Customer Success Manager or sales team to provide you additional information and special event offer codes.
UiPath’s announcement regarding our Series D can be found here.