Zendesk Powers Up With $60M

Zendesk, a provider of on-demand, help desk, customer services support network, has raised $60 million in new funding including $45 million in equity. Investors include new investors Index Ventures, GGV Capital, Goldman Sachs and existing investors Charles River Ventures, Benchmark Capital and Matrix Partners. The San Francisco-based company also secured $15 million in debt from Silicon Valley Bank. Zendesk has now raised more than $80 million in total funding since it was founded in 2007. CEO Mikkel Svane told peHUB in an email that the conmpany doesn’t have any acquisitions planned. “But we are focusing heavily on attracting the right talent and DNA to the company. We need a bigger pile of chips on the table to continue to execute at the pace we’re executing,” he said.


Zendesk Announces $60 Million Financing

SAN FRANCISCO – September 12, 2012 – Zendesk, the proven cloud-based customer service software provider, today announced the completion of $60 million of new financing.

“This new funding allows us to invest aggressively in global expansion, top-notchtalent, and technology innovation,” said Mikkel Svane, Zendesk CEO and founder. “Today’s introduction of the ‘new Zendesk’ demonstrates how we are changing the face of customer service forever.”

Redpoint Ventures led the $45 million equity financing with participation by Index Ventures, GGV Capital, Goldman Sachs and the company’s existing venture capital investors, Charles River Ventures, Benchmark Capital and Matrix Partners.  In addition, the company has secured a $15 million facility through Silicon Valley Bank.

“We believe Zendesk is one of the most innovative SaaS companies in the industry,” said Satish Dharmaraj, General Partner with Redpoint Ventures. “The enterprise software industry is seeing a huge shift to the cloud. Zendesk has proven itself as a leader in this transition, with stellar performance in the customer service sector and they are poised for phenomenal growth. Redpoint is pleased to be an investor in this important and disruptive company.”

Zendesk’s monthly recurring revenues have grown nearly 500% since the last financing was completed in November 2010.  Over the past 15 months, San Francisco-based Zendesk opened offices in London, Copenhagen, and Melbourne as well as established operations in Tokyo. Today, more than 100 million people in 140 countries get their customer service through Zendesk’s 20,000+ customers.

About Zendesk
Zendesk is the leading provider of proven, cloud-based customer service software. For growing organizations, Zendesk is the fastest way to enable great customer service. More than 20,000 Zendesk customers, including Gilt Groupe, Box, and Disney, trust Zendesk with their most valuable assets: their customers, partners, and employees. Founded in 2007, Zendesk is funded by Charles River Ventures, Benchmark Capital, Goldman Sachs, GGV Capital, Index Ventures, Matrix Partners, Redpoint Ventures, and Silicon Valley Bank. Learn more at www.zendesk.com.

About Redpoint Ventures
Founded in 1999, Redpoint Ventures is a leading technology focused venture capital and growth equity investment firm with over $3B in capital under management. Redpoint focuses on investing globally in technology ventures across the Internet, digital media, mobile, and enterprise sectors to accelerate growth and build industry defining companies. Its partners have been involved in 41 IPOs and 66 upside acquisitions. The firm is headquartered in Menlo Park, CA with offices in Los Angeles and Shanghai, China. For more information visit www.redpoint.com.

About Index Ventures
Index Ventures is a leading global venture capital firm active in technology and biotechnology investing since 1996. From its offices in Geneva, London and San Francisco, Index Ventures loves to discover and support the most entrepreneurial teams wherever they are looking to build market defining global businesses. For more information on its investments, from seed through to growth stage, please visit www.indexventures.com.

About GGV Capital
GGV Capital is a $1.6 billion expansion stage venture capital firm based in Silicon Valley (Menlo Park, CA) and Shanghai, China. Founded in 2000, the firm leverages a unique operating model – one team investing across the US and China, the two largest economies in the world. GGV portfolio companies include Alibaba Group, Appirio, AthenaHealth, Buddy Media, Endeca, hiSoft, Isilon, Meihua, Meilishuo, Pandora Media, Qunar, SoundCloud, Square, SuccessFactors, Tudou, UCWeb, YY and 21ViaNet. For more information, visit www.ggvc.com.

About Goldman Sachs Group, Inc.
The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.

About SiliconValley Bank
Silicon Valley Bank is the premier bank for technology, life science, cleantech, venture capital, private equity and premium wine businesses. Silicon Valley Bank and its affiliates within SVB Financial Group provides industry knowledge and connections, financing, treasury management, corporate investment and international banking services to clients worldwide through 27 U.S. offices and seven international operations in China, India, Israel and the UK. Learn more at www.svb.com.