SaaS Unicorn Icertis Raises $150 Mn Funding From Silicon Valley Bank

SaaS unicorn Icertis has raised $150 Mn from the US-based Silicon Valley Bank (SVB). 

The $150 Mn funding is reportedly bifurcated into $75 Mn as convertible debt and the remaining $75 Mn as a revolving credit facility. Adding the latest funding, the startup has raised a total of $520 Mn. 

The development comes five days after Icertis secured a $75 Mn debt funding round.

Founded in 2009 by Monish Darda and Samir Bodas, Icertis offers enterprise contract management solutions to companies across the globe. 

Icertis said its Icertis Contract Intelligence (ICI) helps businesses structure commercial, legal and operational data within contracts. These contracts are later shared within the companies for procurement, ERP, HCM and CRM systems, in turn, helping organisations trim expenses, manage risk better, increase revenue and ensure compliance.

“We are thrilled to work with Icertis and support its continued growth as a contract intelligence platform. Contracts are the foundation of commerce, sitting at the intersection of almost all business processes. Understanding and harnessing the underlying data can drive material business impact to a wide range of enterprises,” said Bob Blee, head of U.S. Technology Corporate Banking at Silicon Valley Bank. 

Icertis primarily caters to financial services, healthcare, pharmaceutical, retail, and manufacturing, among others.

The SaaS startup plans to use the funds to expand business in the contract lifecycle management (CLM) space.

According to Icertis, the address market for contract lifecycle management will reach $30 Bn in the next five years.

“Customers across all verticals are using our AI-driven contract intelligence platform to digitally memorialize the purpose of every commercial relationship and ensure the intent of those agreements is fully realized,” said Rajat Bahri, CFO of Icertis. 

In September, SoftBank Vision Fund was reported to have acquired shares of Icertis’ investor Eight Roads. Following this, Icertis’ valuation grew to $5 Bn. Meanwhile, in March 2021, the startup secured $80 Mn in its Series F funding round at a valuation of $2.8 Bn. 

Its clientele includes Google, Microsoft, Daimler, Airbus, Johnson & Johnson, Lupin, Infosys, Wipro and Cognizant, among others. Besides, it counts Greycroft, B Capital Group, Meritech Capital Partners, Premji Invest, PSP Growth, e.ventures as its investors. 

As per a report, the contract management industry, which was pegged at $1.5 Bn in 2019, is set to become a $2.9 Bn space by 2024. The industry is expected to grow at a CAGR of 13.5% during the period 2019-24.

Some of the Indian startups that are working in the contract management space are DocuSign, Sirion and LinkSquares.