Hootsuite has raised a $65 million from CIBC Innovation Banking.
The financing, raised by a financing agreeement, will help Hootsuite expand in the Asia-Pacific region, Europe, the Middle East, Africa, and Latin America. It’s also working to further verticalize its platform for industries like financial services, government and healthcare, and double down on its ecosystem through existing and new strategic partnerships and integrations.
“This financing is a testament to the strong fundamentals behind Hootsuite and our ongoing commitment to innovation and growth as the clear leader in social media management,” said Greg Twinney, CFO of Hootsuite. “The additional capital will help us scale even faster to bring the most innovative products and partnerships to market globally and help our customers strategically build their brands, businesses and customer relationships with social.”
In early January, CIBC acquired Wellington Financial to launch CIBC Innovation Banking, which provides advisory expertise and financing solutions to companies at all stages.
According to a report from TechCrunch, Hootsuite currently has 16 million users. “The company is cash flow positive and the facility will primarily be reserved for M&A purposes. There is no associated valuation, however our latest 409a is up from last year and growth is very strong,” CEO Ryan Holmes told the publication.
“In the past year, Hootsuite has seen tremendous growth from acquisitions like AdEspresso, to strategic partnerships with market leaders such as Adobe, to recognitions such as being named a leader in the Forrester Wave and G2 Crowd,” said Holmes in a press statement. “This financing allows Hootsuite in continuing to create strong value for customers looking to unlock the power of social.”