Veeam Achieves $15 Billion Valuation, Attracting New Investors as Data Resilience Leader

The latest investment round in Veeam, led by TPG with participation from Temasek, Neuberger Berman Capital Solutions, and other key investors, further solidifies Veeam’s position as a global leader in the rapidly expanding data resilience market. With the increasing digital transformation of enterprises and the rise of cyber threats, safeguarding data from outages, cyber-attacks, and ransomware has never been more critical. As executives navigate a world marked by data growth, regulatory complexity, and heightened cybersecurity risks, Veeam’s suite of data resilience solutions provides the essential protection to maintain business continuity.

As of September 2024, Veeam achieved an impressive $1.7 billion in annualized recurring revenue (ARR), reflecting an 18% year-over-year growth rate. Notably, its Software + SaaS subscription business experienced a 31% year-over-year growth, and the company maintained a strong 30% EBITDA margin, surpassing the Rule of 40 benchmark—indicating both robust and sustained profitable growth. This growth trajectory has positioned Veeam to make strategic investments in cutting-edge technologies such as security, cloud services, and AI-driven innovations, securing its place as the world’s foremost data resilience provider.

Anand Eswaran, CEO of Veeam, emphasized the importance of data in today’s digital-first world: “In a digital-first world, data is the foundation of your business. If you lose access to that data, your business stops,” he said. As businesses continue to embrace AI and digital technologies, the volume and importance of data only increase, along with the associated risks such as ransomware and other cyber threats. With over 550,000 customers and 34,000 partners worldwide, Veeam has earned their trust in ensuring that data remains resilient, secure, and always accessible.

Veeam’s dominance in the data resilience sector was recently confirmed when it was named the #1 provider in the Data Replication & Protection software category by the 2024 H1 IDC Semiannual Software Tracker. This recognition underscores Veeam’s leadership in providing a comprehensive suite of data protection services—ranging from backup and recovery to portability, security, and intelligence. Veeam’s solutions are tailored to meet the needs of a diverse customer base, including large enterprises, governments, and small businesses, by offering flexible deployment options—whether as a service through Veeam Cloud & Service Providers or as self-managed software.

The Veeam Data Platform (VDP) is a key component of the company’s offering, delivering robust data security, rapid recovery capabilities, and hybrid cloud protection. This includes advanced ransomware defenses that help businesses mitigate risks and recover swiftly from incidents. With the launch of Veeam Data Cloud (VDC) earlier this year, the company has further expanded its cloud-first capabilities, offering Backup-as-a-Service (BaaS) solutions. Additionally, the Veeam Data Cloud Vault, introduced in March 2024, provides customers with secure, immutable cloud storage for backups, offering peace of mind that their critical data is protected against cyber threats.

As businesses continue their digital transformation journeys, Veeam’s solutions evolve to meet their ever-changing needs. According to Arun Agarwal, Partner at TPG, “As businesses transform digitally, a data protection strategy that evolves with them, no matter where their data resides, is more critical than ever. Veeam understands the trend toward migration to the cloud and is poised to gain share with their new cloud-first offerings.”

TPG’s investment, funded by its TTAD and Hybrid Solutions strategies, aims to accelerate Veeam’s growth by providing flexible capital solutions to help the company scale its offerings. TPG Capital’s Co-Managing Partner, Nehal Raj, noted the firm’s excitement in partnering with Veeam’s management team to continue the company’s momentum in the data resilience market.

Insight Partners, a long-term backer of Veeam, praised the company’s leadership and innovation, with Managing Director Mike Triplett highlighting Veeam’s market dominance and its trusted relationships with some of the world’s largest enterprises. As part of this latest round of investment, Neuberger Berman Capital Solutions also expressed confidence in Veeam’s continued success, with Managing Director Nikhil Krishnan stating that the company’s proven track record of innovation will continue to provide high value to customers.

The transaction, which is expected to close in Q1 2025, will provide Veeam with additional capital flexibility, allowing the company to pursue strategic partnerships and acquisitions to further enhance its market position. With Insight Partners maintaining its status as the largest shareholder, Veeam’s leadership team remains focused on driving the company’s growth and innovation.

Looking ahead, this investment round signals a transformative phase for Veeam. As the undisputed leader in the data resilience market, Veeam is set to continue delivering industry-leading solutions that protect the digital world. The company’s unwavering commitment to innovation, security, and customer trust ensures that it will remain at the forefront of the data protection landscape for years to come.