DataArt Secures $75 Million Growth Investment from FTV Capital to Further Expand Global Reach
NEW YORK – JUNE 29, 2022 – DataArt, a global software engineering firm, today announced that it has secured a $75 million minority growth investment from FTV Capital, a leading growth equity investment firm with over two decades of experience in enterprise technology. This investment, which closed earlier this year, follows a year of extraordinary growth in 2021 and 2022 year-to-date, as DataArt expanded its international footprint, strengthened its service offerings in key innovation sectors and achieved record revenue growth. DataArt will use the new funding to accelerate its strong momentum, scale its global delivery capacity and secure its position as the leading provider for custom cloud and data software services.
Amid heightened urgency for digital products, enterprises require technical skills to stay ahead
As demand for digital products and services continues to surge, enterprises are trying to keep up with ever-changing technology by relying on outside consultants and partners to get ahead. Today, digital is the fastest-growing segment of IT services spending, expected to surpass $1 trillion by 2025, but IT departments in every organization face a skills gap for emerging technologies. As more enterprises pursue digital transformation, they continue to seek ways to embed digital vendors within client development teams to help embrace new technologies that will accelerate growth, deepen customer relationships and boost efficiencies.
With over 25 years of experience, DataArt is a trusted partner to many of the world’s leading brands, including Intersport, NASDAQ, Priceline and Unilever, among others. DataArt is uniquely positioned to address surging demand for enterprises everywhere in the world given its global reach, best-in-class recruiting platform, highly redundant and secure infrastructure, and continued investments in its delivery capacity and proprietary R&D. Taking a unique people-first approach that ensures exceptional value and customer service, DataArt delivers digital solutions at scale. DataArt regularly goes through SOC2 Type II audit and in-depth client due diligence and maintains above-industry security scores from SecurityScorecard and BitSight.
“Cloud, specialized product, AI/ML, and data engineering are some of the most explosive segments in IT today and have become pivotal to every corporate IT environment,” said Richard Liu, partner at FTV Capital. “DataArt has already proven successful in building an exceptional, scaled platform for software engineering with a deep focus on its customers and people. When FTV decided to invest at the beginning of this year, DataArt was already in a very strong financial position, but we came together around a shared ambition to catalyze the company’s growth. Even in the face of a difficult geopolitical environment, we have been extremely impressed with DataArt’s agility, resourcefulness and consistent ability to deliver on its promise of providing top engineering talent globally.”
Achieving record growth and diversifying delivery organization despite global market volatility
Over the past year, DataArt has experienced impressive growth in revenue, hiring, strategic partnerships and client relationships.
DataArt’s 2021 revenue exceeded $290 million, a record 60 percent year-over-year increase from 2020. For the tenth consecutive year, the company was named to the Inc. 5000 list, a prestigious ranking of the fastest-growing private companies in the United States. The company expanded operations in Europe, Central Asia, and the Middle East, while building on its existing footprint in Latin America, a key strategic market for DataArt. Despite the intensifying competition for technical talent, DataArt continues to produce a strong pipeline of qualified engineers, including more than 870 new hires thus far in 2022, keeping pace with client demand. Seventeen percent of its new hires are in Latin America, and over the next two years DataArt is on track to employ over 2,000 people in the region.
In response to the war in Ukraine, DataArt helped relocate approximately 1,300 staff to offices in other markets, accelerating hiring in 14 countries, and was able to provide minimal interruption in the delivery of services as a result.
“Given the extraordinary events over the past several months, I am incredibly proud of our employees’ resilience and adaptability, while we’ve been able to strengthen and expand our business through the steadfast support of our partners like FTV,” said Eugene Goland, CEO of DataArt. “With a long history of working with high-growth companies across enterprise technology, including successes like EXL and Globant, FTV brings far more than just capital to the table. As we continue to grow quickly, we are excited to tap into the FTV team’s deep industry expertise and vast connections to blue chip firms via their Global Partner Network®, both of which make them a truly unique growth partner.”
“Together with FTV, we are building a truly global company that delivers next-generation cloud and data systems to clients everywhere, powered by our ability to source the best talent from over 40 countries,” said Alexei Miller, managing director of DataArt. “We are excited to leverage FTV’s significant expertise in building leading IT services brands in our sector and this new funding for R&D, potential acquisitions and regional development to accelerate our growth.”
With this investment from FTV Capital, Liu will join DataArt’s board of directors.