Vertica Systems Raises $23.5 Million in Financing
Vertica Systems, Inc. (www.vertica.com), a software company co-founded by database research and technology pioneer Dr. Michael Stonebraker and startup veteran Andy Palmer, today announced that it has raised a total of $23.5 million in financing with the recent completion of a $16.5 million Series B round. The round, which was co-led by new investors New Enterprise Associates (NEA) and Kleiner Perkins Caufield & Byers, includes previous investors Bessemer Venture Partners and Highland Capital Partners.
Vertica also announced that Kleiner Perkins general partner Ray Lane will serve as a special advisor to the company. Mr. Lane was formerly president and chief operating officer of Oracle.
The latest round of investment will be used to help Vertica bring its product to market. Previously, Vertica had raised $7 million from Bessemer and Highland.
Vertica has built a new, ultra-fast database management system for data warehouses, data marts and other query-intensive business applications. The Vertica Database™ is currently in trial with a number of customers and will be commercially available later in 2007. Product details will be available at that time (product details are available now to members of Vertica’s Early Adopter Program; see http://www.vertica.com/earlyadopter for information about becoming an Early Adopter).
“Vertica is closing a two-decade gap in database innovation,” said Peter Barris, NEA’s managing general partner. “The Vertica Database is a new SQL engine that’s optimized for a pressing business need: to provide more affordable access to the wealth of enterprise data for many people within the enterprise.”
“Vertica is bringing an end to the stranglehold of the One-Size-Fits-All Database,” said Ray Lane. “One size no longer has to fit all in databases. Vertica has shown that it’s possible to build special-purpose database engines that are extremely cost-effective at solving big problems — in this case, the management of large, read-intensive databases. We think that Vertica is going to be a significant independent database company.”
“In addition to helping us bring our product to market, this round of investment significantly deepens our investor bench strength,” said Mr. Palmer, Vertica’s co-founder and CEO. “Our colleagues at Bessemer and Highland have been valuable partners, and we are looking forward to NEA and Kleiner Perkins joining the Vertica team.”
Vertica was co-founded in 2005 by Dr. Stonebraker, considered one of the founding fathers of the database industry, and Mr. Palmer, an executive with a track-record of starting successful technology and life sciences companies. Highland helped start Vertica by introducing Dr. Stonebraker (who is serving as Vertica’s chief technology officer) to Mr. Palmer.
In a separate news release today, Vertica announced the appointment of Jerry Held as chairman of the board. Dr. Held is a leader and veteran innovator in the database industry, as are Mr. Lane and Dr. Stonebraker.
About Bessemer Venture Partners
Bessemer Venture Partners (BVP; www.bvp.com) is the oldest venture capital practice in the United States. With offices in Silicon Valley, Boston, New York, Shanghai, Mumbai, and Bangalore, the firm manages two billion dollars of venture funds, carrying on a tradition of hands-on, active venture investing that has continued since 1911. Over 100 Bessemer companies have gone public, including American Superconductor, Ciena, Gartner Group, Ingersoll Rand, International Paper, Maxim, Parametric, Perseptive Biosystems, Staples, VeriSign, Veritas, and W.R. Grace.
About Highland Capital Partners
Highland Capital Partners (www.hcp.com) was founded with the mission of helping great people build great companies. Since its inception in 1988, the firm has taken a sector-focused and stage-diversified approach to investing in exceptional information technology, communications, and healthcare companies. With over $2.6 billion of committed capital, Highland has invested in and worked to create such firms as Ask Jeeves, Avid Technology, Be Free, CheckFree, Conor Medsystems, Lycos, MapQuest, Ocular Networks, Sybase, Telica, VistaPrint and WebLine Communications.
About Kleiner Perkins Caufield & Byers
Since its founding in 1972, Kleiner Perkins Caufield & Byers (www.kpcb.com) has backed entrepreneurs in 475 ventures, including AOL, Align, Amazon.com, Citrix, Compaq Computer, Electronic Arts, Genentech, Genomic Health, Google, Hybritech, IDEC Pharmaceuticals, Intuit, Juniper Networks, Lotus, Netscape, Nuvasive, Sun Microsystems, Symantec, Verisign, and Xilinx. KPCB portfolio companies employ more than 250,000 people. More than 150 of the firm’s portfolio companies have gone public, and many other ventures have achieved success through mergers and acquisitions. KPCB has broadly invested in both life sciences and information technology since inception in 1972. In the last six years, KPCB has expanded its focus to include Greentech and pandemic preparedness.
About New Enterprise Associates
New Enterprise Associates (NEA, www.nea.com) is a leading venture capital firm focused on helping entrepreneurs create and build major new enterprises that use technology to improve the way we live, work and play. Since its founding in 1978, the firm has followed the same core principles: supporting its entrepreneurs, providing an excellent return to its limited partners and practicing its profession with the highest standards and respect. NEA focuses on investments at all stages of a company’s development, from seed-stage through IPO. With approximately $8.5 billion in committed capital, NEA’s experienced management team has invested in over 550 companies, of which more than 155 have gone public and more than 220 have been acquired.
Vertica Systems (www.vertica.com) is the innovator in the market for affordable, high-performance database management systems. Co-founded by database research and technology pioneer Dr. Michael Stonebraker and startup veteran Andy Palmer, Vertica has developed ultra-fast database technology for storing and querying very large databases using industry-standard hardware. With its unmatched scalability, flexibility and ease of use, Vertica’s solution will bring corporate database architectures into the 21st century. Vertica is headquartered in Andover, Mass., and has raised $23.5 million in financing from Bessemer Venture Partners, Highland Capital Partners, Kleiner Perkins Caufield & Byers, and New Enterprise Associates.