Investors have poured more than $21.5bn into Infrastructure & Enterprise Software companies globally since 2014

Over $1.1bn was invested in deals valued at $100m and above in the first half of the year

  • More than $21.5bn was raised by Infrastructure & Enterprise Software companies between 2014 and H1 2019, with almost 1,500 transactions completed during the period.
  • Investment increased at a CAGR of 35.7% between 2014 and 2018 which pushed the average deal size up from in $7.9m in 2014 to $20.8m last year.
  • Funding peaked at $6.3bn in 2018, with the number of deals valued at $100m and above increasing from 12 in 2017 to 16 transactions in 2018.
  • Over $1.1bn was invested in deals valued at $100m and above in the first six months of 2019. UIPath, which develops robotic process automation software to digitally transform banking infrastructure, raised $568m in Q2 2019 at a $7bn valuation. This Series D round was the largest Infrastructure & Enterprise Software deal of the year and the second largest in the subsector to date.


The share of deals has been shifting from North America to other regions of the world

  • Companies in North America, predominantly driven by the US, have dominated deal activity, capturing 55% of deals that occurred between 2014 and H1 2019.
  • This is to be expected, given that the US has the most mature technology market in the world not just with respect to developers and end-users, but an established ecosystem of technology investors in key hubs, such as Silicon Valley, that have been pioneering innovation in this space for decades.
  • However, investors have been seeking growth opportunities in other markets such as Europe, which saw its share of regional deal activity more than double from 16.1% of transactions in 2014 to 38.9% in the first half of the year. HR Path, a HR & Payroll processing solution provider headquartered in Paris, raised $113m in a private equity round from Andera Partners in April 2019. This was the largest deal in the subsector in Europe last year and funding will help the company realise its international ambitions.
  • Other regions, covering countries such as Israel which has become a leading hub for information and network security technology, captured 8.8% of global deal activity in the subsector between 2014 and H1 2019.


Security Technology companies have attracted the greatest share of deals since 2014

  • Investors have been involved in deals across the entire Infrastructure & Enterprise Software value chain, with no dominant sub-category emerging. However, companies in the Security Technology, Accounting and Banking Software categories captured almost three quarters of deal activity between 2014 and H1 2019.
  • Furthermore, Security Technology companies were involved in more deals in the subsector than companies in any other category, capturing 26.5% of deals with over $7.5bn raised across these transactions.
  • Data and information security management solution provider Symantec raised $500m in a Post-IPO funding from Silver Lake Partners which was the largest deal in the sub-category between 2014 and the first half of 2019.


More than $3.7bn was invested in the ten largest deals between 2014 and H1 2019

  • Almost $3.8bn was raised in the top 10 Infrastructure & Enterprise Software deals between 2014 and H1 2019, which is equal to 17.5% of the total capital raised in the subsector globally during the period.
  • North American companies dominate the list, with seven deals included, followed by two in Asia and one funding round raised by Avaloq, a core banking infrastructure software provider based in Switzerland.
  • OneConnect provides financial technology solutions for small and medium-sized banks. The Shanghai-based company is a subsidiary of Ping An and raised $650m in a Series A round from SoftBank Vision Fund in Q1 2018. This is the largest Infrastructure & Enterprise Software deal to date and has selected Goldman Sachs, JPMorgan and Morgan Stanley to work on its Hong Kong IPO.
  • Divvy is a Utah-based FinTech that provides invoicing, business expenses and budgeting solutions to businesses. The company raised a $200m Series C round in April, which was the second largest deal in the subsector this year after the previously mentioned $568m Series D funding raised by UiPath.


The data for this research was taken from the FinTech Global database. More in-depth data and analytics on investments and companies across all FinTech sectors and regions around the world are available to subscribers of FinTech Global. ©2019 FinTech Global

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