WSO2 secures $90m in Growth Capital from Goldman Sachs Asset Management

By Edlyn Cardoza

WSO2, a leader in digital transformation technology, recently announced that the company has closed $90 million in financing from client vehicles advised by Goldman Sachs Asset Management Private Credit (Goldman Sachs). The flexible capital solution will be used to accelerate WSO2’s worldwide business expansion, drive the growth of the company’s global partner network, and support the rollout of its next-generation, cloud-native solutions for securely delivering APIs, applications and digital services. The new solutions, powered by Ballerina, will offer a seamless blend of low code and pro code experience for enterprises and deliver the power of DevOps and modern SDLC practices, including integrated reuse within the organisation and beyond.

As enterprises worldwide advance their digital transformation initiatives, more employees contribute to developing new digital products and services that offer individualised experiences to users. This is driving the demand for more robust low-code approaches to improve employee productivity and create trusted, engaging customer experiences. WSO2 will use the funding from Goldman Sachs to deliver a new generation of platform-as-a-service offerings that democratise the adoption of its industry-leading cloud-native technologies for API management, integration, and customer identity and access management (CIAM).

“With more enterprises embracing digital business models, we’re seeing growing demand for our uniquely integrated approach to coupling best-in-class API management and integration with identity and access management,” said Dr Sanjiva Weerawarana, WSO2 founder and CEO. “To date, we’ve been financing the growth of our business with our own profits and have secured over 800 customers in over 80 countries, including several Fortune 1000 customers. Now, with the funding from Goldman Sachs, we can accelerate delivery of our next-generation Choreo integration platform as a service (iPaaS) and Asgardeo identity as a service (iDaaS) solutions, which significantly lower the skills, time and cost barriers to delivering secure new digital services, as well as further expand our partner network and scale faster globally.”

In addition to supporting the company’s commercial solutions, WSO2 will also invest in extending the capabilities and community around Ballerina, the open-source language that radically simplifies how developers build and deploy cloud-native applications. Choreo is WSO2’s first commercial solution to take advantage of Ballerina, enabling employees at various skill levels to collaborate in creating new apps and digital services via code, low-code, and no-code.

“The need to connect applications is mission-critical as software proliferates across enterprises. As a recognised leader in delivering API management, integration and CIAM software to a global blue-chip customer base, WSO2 is strategically aligned with our focus on investing in high-growth software businesses,” said Matt Singer from Goldman Sachs Asset Management. “We are excited to provide capital to WSO2 at this unique inflexion point as it capitalises on strong customer demand to bring new capabilities to deliver digital innovation and agility via the cloud.”