Wasabi Technologies Becomes Unicorn Company with $250M in New Funding

Wasabi Technologies Inc., which sells low-cost storage-as-a-service, has secured $250 million in new funding. 

The funding includes Series D equity financing of $125 million by L2 Point Management and a $125 million expansion of its existing debt facility with MGG Investment Group.  

It brings the total amount of cash the Boston-based company has raised to more than $411 million and establishes it as the newest “unicorn” company, with a valuation of more than $1.1 billion. 

The size of the funding round is notable in a market that has seen technology stocks hammered this year, with valuations of some falling more than 80%.  

“Closing a large up round in this environment speaks to the spectacular growth of Wasabi, the magnitude of the cloud storage opportunity, and our leadership as the industry’s largest pure-play cloud storage vendor,” said Wasabi Technologies CEO David Friend. 

Barclays acted as sole placement agent on the transaction.