Switzerland-based Nexthink, a platform used by businesses to monitor software performance on their employees’ devices, has raised $180M (approx €149.5M) in its series D round of funding led by Permira. The company also reported a valuation of $1.1B (approx €914M). This transaction is scheduled to close in the first quarter of 2021.
Speaking on the development, Pedro Bados, CEO and co-founder of Nexthink says, “The rise in remote working has dramatically accelerated the need for digital employee experience, as a big part of all the interactions that employees have with companies are now digital. We see a huge opportunity ahead of us to redefine the future way in which companies will provide digital workplaces to their workforce.”
Investors in this round
The round was led by Permira, through its Growth Opportunities Fund. In addition, the company also saw participation from its existing investors including Highland Europe and Index Ventures.
Besides, the company has also announced that Bruce Chizen, former CEO of Adobe and senior advisor at Permira, will join its board of directors.
The Permira funds have made over 250 private equity investments in four key sectors – technology, consumer, services, and healthcare. Some of the companies backed by Permira funds include TeamViewer, Mirakl, Zwift, and Klarna.
With Chizen joining Nexthink’s board, Pedro Bados, CEO and co-founder of Nexthink says, “Bruce is a terrific addition to the team. At Adobe he transformed the way people work by providing delightful experiences to millions of software users. Now we can do the same with the employees of thousands of companies around the world.”
Use of the funds
The raised capital will be used to boost Nexthink’s innovation, rapid growth, and expansion, particularly in the US.
Bruce Chizen, Senior Advisor for Permira says, “Nexthink has seen outstanding growth in recent years. With the move to remote and hybrid digital workplaces, the digital experience is everything in the enterprise and it is a critical component to employee satisfaction. With this latest round, Nexthink is poised to reimagine the role of IT for the world’s largest brands and give them the platform they need to deliver the best experiences at work.”
What service does Nexthink provide?
According to Nexthink’s survey, 96 per cent of the technology executives agree that employee experience is an essential part of what IT teams do. However, more than a third (34 per cent) rely on manual methods to collect experience information, and nearly half (46 per cent) don’t measure their employees’ digital experience at all. And this where Nexthink wants to make a difference.
Founded in 2004 by Patrick Hertzog, Pedro Bados, and Vincent Bieri, the Lausanne-based company’s product provides a digital experience management platform to IT teams to discover, monitor, and improve the digital services they provide to their employees.
Nexthink’s platform provides IT with a cloud-native solution that enables insight into employees’ daily experiences of technology at the device, application, and network level. Through a combination of real-time analytics, instant remediation, automation, and employee feedback across all endpoints empower IT teams to continuously improve employees’ digital experiences, solving problems in minutes instead of days.
Nexthink has about 700 employees and plans to reach 900 by the end of 2021, hiring in all major locations in Europe, India and the US. The company, which currently has 1,000 customers, recorded more than $100M (approx €83M) in annual recurring revenue in 2020.