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Enterprise software-as-a-service (SaaS) company MoEngage has raised $100 million in a round led by Goldman Sachs Alternatives and A91 Partners. With north America contributing a major share of its revenues, the firm plans to use the monies for international expansion.The funding comprises 60% primary capital and 40% secondary. According to sources, the primary chunk was valued at $750 million, while the secondary transactions were valued about 15-20% lower. The blended valuation stands at $700 million. The primary component will be used for expansion in the US, Europe, Middle East, and Africa (EMEA). The secondary funds will be used to buy shares from early investors."We will be focussing on our growth and expansion into foreign markets. We will also focus on product lines, such as cross-channel marketing, transactional messaging, and personalised website experiences," cofounder and CEO Raviteja Dodda told ET in an interaction. Founded in 2014 by Dodda and Yashwanth Kumar, the US-headquartered company helps business-to-consumer (B2C) brands market their products using its artificial intelligence (AI) agents. While 60% of its clients are traditional enterprises, almost 40% are new-age firms such as Swiggy, Ola, Mamaearth, and Policybazaar.Although they largely work with the retail ecommerce sector, financial services clients have picked up in the last few years, said Dodda.The company, which started in India, began investing in the US market in late 2020. Currently, 30% of its business comes from north America, 25% from Europe and the Middle East, close to 30% from India, and the rest from Southeast Asia. The company has close to 800 employees spread across its offices in Bengaluru and San Francisco. “We’ve known the MoEngage team for the last six years and been impressed by their ability to innovate and expand their product offerings,” said Kaushik Anand, partner, A91 Partners. “We are excited to back MoEngage as they look to scale their global footprint by empowering marketing and product teams with cutting-edge technology to build customer relationships.”The company claims it will reach $100 million in annual recurring revenue (ARR) by the end of 2025. "We have 40% on-year revenue growth compared to the previous quarter," said Dodda. He added that the company will continue to operate as a US entity.
