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BLADELOGIC CLOSES $7 MILLION SERIES D ROUND OF FUNDING & APPOINTS STEVE WALSKE, FORMER PTC CEO, AS CHAIRMAN OF THE BOARD
Proceeds to be Used to Accelerate Growth via Additional Investments
in Sales and Research and Development
Waltham, MA, September 14, 2005—BladeLogic, Inc., the leading provider of data center automation software, today announced that it has closed its Series D financing round with approximately $7 million in new capital. In addition, the company announced that Steve Walske, former Chairman and CEO of Parametric Technology Corporation (PTC), has been appointed Chairman of the Board.
With one of the highest valuations for a private software company in the industry, BladeLogic’s Series D investment was led by MK Capital with all other existing investors, including Battery Ventures, Bessemer Venture Partners, and Globespan Capital Partners, participating in the round. To date, BladeLogic has raised a total of nearly $29 million in four rounds of equity financing, and has increased the company’s valuation on average by 130% with each successive round. Over the same period, the company has grown its revenue at a compound annual growth rate of over 250%. BladeLogic will use the new capital to accelerate the growth of its business, with particular focus on expanding its global footprint as well as increasing investments in its sales and research and development organizations.
“In the midst of a restrained technology spending environment and intense competition, BladeLogic has delivered outstanding results across every meaningful operating metric,” said Mark Terbeek, General Partner, MK Capital. “There are very few investment opportunities like BladeLogic available in the enterprise software industry today, so we are thrilled at the opportunity to back a company that not only has executed exceptionally well, but also because it has such a promising future. We look forward to actively supporting the team at BladeLogic as they continue to rapidly grow the business.”
In the role of Chairman, Steve Walske will serve as an active strategic advisor to the company. Under Walske’s leadership, PTC established itself as one of the largest software-only companies in the world with revenues in excess of $1 billion. Walske guided the company from its start-up phase through its initial public offering in December 1989 to its position as market leader in mechanical design automation software and a track record of 40 consecutive quarters of earnings and revenue growth.
“I have had the unique opportunity to watch BladeLogic grow from a small company closing its first set of customers to be the leader in a large and strategic market,” said Steve Walske. “BladeLogic has all the key ingredients – a large market, a defendable technology advantage, a blue chip customer base, a well-developed sales organization, and a very strong management team – to be an exceptionally large software franchise. My role will be to help Dev Ittycheria and the management team scale the business to its full potential.”
“While we did not have to raise capital given the operating performance and the capital efficiency of the business, we have had many offers to take on additional capital to accelerate growth,” said Dev Ittycheria, President and CEO, BladeLogic. “Once we decided that this was the right thing to do, our existing investors jumped at the opportunity to be more supportive. With the appointment of Steve Walske as Chairman, we are also very fortunate to have a world-class executive whose experience and track record in building software companies is unparalleled. Steve’s advice and counsel will be extremely valuable as we continue to aggressively expand the business.”
About BladeLogic (NASDAQ: BLOG)
BladeLogic is a leading provider of data center automation software with a large installed base of Fortune Global 500 customers, including 21 of the top 100 global companies, 3 of the top 10 aerospace and defense companies, 7 of the top 25 commercial and savings banks, 3 of the top 5 securities companies, 2 of the top 3 entertainment companies, 2 of the top 3 general merchandisers, 7 of the top 12 pharmaceutical companies and 7 of the top 10 telecommunications companies. BladeLogic’s data center automation software solutions enable enterprises, service providers and government organizations to easily browse, provision, configure, patch, audit and remediate physical and virtual servers and applications, allowing customers to achieve reduced data center operating costs, improved service quality and enhanced security and compliance. BladeLogic is headquartered in Lexington, Massachusetts, USA. For more information, please visit www.bladelogic.com.
Contact:
BladeLogic
Tedd Rodman
+1-781-257-3560
trodman@bladelogic.com