$45M ... can you say 'IPO'?
estminster-based Datalogix, a company that uses online and offline consumer data to fine-tune marketing campaigns, just might be the hottest tech outfit in Colorado.
In April, the company landed an investment from one of the shrewdest tech investors in the business, who also joined the firm’s board. Last week the company announced another $45 million in funding. To top it off, the company’s revenue has reportedly increased by more than 50 percent in the last year, and the Wall Street Journal reported in May that the firm is talking with Goldman Sachs, Deutsche Bank, and Barclays about backing a $75 million initial public offering (IPO).
The latest $45 million in Series C money comes just a month after an undisclosed investment by Breyer Capital, run by renowned tech investor Jim Breyer. Breyer was a long-time board member of Facebook, Dell and Walmart, and currently serves on the boards of several private technology companies. He was ranked number one on the Forbes “Midas List” of top technology investors in 2013, 2012, and 2011. Now, he has also joined the Datalogix board of directors.
The new $45 million round was led by Wellington Management Company, an asset management firm with nearly $870 billion under management. Existing investor Institutional Venture Partners also participated. The Series C round follows a $25 million Series B funding round last April. Total investment in the company is now estimated at more than $86.5 million since it was founded in 2002.
Datalogix executives say they will use the new money to expand the company’s suite of audience and measurement products, which they say are used by 77 of the "Ad Age 100" top advertisers, as well as other digital media companies.
“We are thrilled to welcome Wellington Management to our existing shareholder base,” says Datalogix CEO Eric Roza, “which includes Jim Breyer, General Catalyst, IVP, and Sequel Ventures. We were particularly gratified that Sandy Miller and IVP chose to increase their ownership stake in the company."
With sophisticated tracking and analysis tools, Datalogix helps companies target specific customers who are most likely to buy their products. The company also measures the effectiveness of ad campaigns to determine if consumers are actually buying more as a result of advertising efforts. Social networks like Facebook and Twitter use the data to convince advertisers to buy more advertising space.
“Connecting advertising directly to in-store product sales is the Holy Grail for marketers,” says Breyer, “and I believe Datalogix delivers the best platform on the market for achieving this. I have watched Datalogix propel itself in an incredibly short period of time from small start-up to a trusted core infrastructure provider for the world’s leading brands and media businesses.”