SoftBank's venture capital arm has secured investment within enterprise mobility company Kony by leading a funding round worth millions.
Announced on Tuesday, Kony said it has raised $50 million in financing in a round led by SoftBank Capital and including additional funds offered by Insight Venture Partners, Telstra Ventures, and Georgian Partners, Delta-V and Hamilton Lane.
Research firm Gartner predicts that by 2017, 25 percent of current market leaders will lose their leadership position to companies founded after the year 2000 -- due to differences in the application of digital technology. Kony believes that enterprise mobility is at the heart of this rapid change in the corporate landscape.
Kony serves 20 million daily enterprise users and accounts for hundreds of enterprise customers across 45 countries. Unnamed sources told Reuters that Kony, founded in 2007 by Raj Koneru, generates nearly $100 million in revenue a year and is close to an initial public offering.
Thomas E. Hogan, chief executive officer of Kony commented:
"We are thrilled to add SoftBank Capital to our family of strategic investors. SoftBank’s financial strength, global resources, and strong presence in the Asia Pacific region will bring invaluable contributions to Kony’s aggressive agenda for global growth and market leadership in enterprise mobility.
We are equally pleased Insight Venture Partners will co-lead this round. As one of the industry’s preeminent investment firms and Kony’s anchor investor, the added commitment from Insight is further validation of Kony’s rapid ascension as a leader in the exploding market for mobile applications."
SoftBank has been rapidly building up its investment portfolio, with a particular focus on startups, and this investment is likely to allow Kony additional expansion in Japan and the Asian region as a whole.