Goldman Sachs to Invest in MoEngage in a Secondary Transaction 🚀
If you’re a crypto enthusiast interested in the latest developments in the tech world, here’s some exciting news for you. Goldman Sachs is currently in advanced discussions to double down on the enterprise software-as-a-service (SaaS) company MoEngage. This potential investment could range between $35-50 million and will involve a secondary transaction. This move comes amidst a flurry of activity in the late-stage SaaS startup ecosystem, with several companies raising funds or finalizing funding rounds.
What to Expect from the Investment?
- Goldman Sachs intends to purchase shares of MoEngage from early investors in a fully secondary funding round.
- The investment contours are still being finalized, but there might be a discount compared to MoEngage’s last valuation for this Goldman investment.
Recent Funding Rounds in SaaS Startups 📈
If you want to stay updated on the latest funding rounds in the tech industry, here are some key highlights:
MoEngage Valuation and Previous Funding
- MoEngage, a marketing-focused SaaS firm based in Bengaluru, was last valued at $700 million after a $77 million funding round led by Goldman Sachs and B Capital in 2022.
Updates from Other SaaS Firms
- The World Bank arm International Finance Corporation (IFC) plans to invest $20 million in healthcare-focused SaaS firm Innovaccer.
- Private equity firm Warburg Pincus is set to lead a $100-150 million funding round in SaaS firm Whatfix.
- SoftBank, an existing investor in Icertis, is expected to make additional investments in the firm.
- Data collaboration software startup Atlan raised $105 million in fresh capital, doubling the company’s valuation to $750 million.
The Shift in SaaS Valuations ⚖️
Like many tech-driven industries, SaaS valuations have undergone significant changes recently:
- After reaching record highs of up to 30 times revenue multiples in 2021, valuations have now dropped to 10-12 times, according to industry experts.
- On average, SaaS company valuations are trending at 6.7 times revenue based on Bessemer Venture Partners’ Nasdaq emerging cloud index.
- SaaS investments saw a slowdown in 2022, with late-stage firms receiving $1.53 billion, which decreased to $421 million in 2023.
Hot Take 🌟
For crypto investors keeping an eye on the tech landscape, the potential investment by Goldman Sachs in MoEngage signals continued interest in the SaaS sector. Stay tuned for further developments as the deal progresses, reflecting the evolving dynamics of the industry. 🚀
By
By
By
By