Web testing platform Browserstack raises $50M from Accel Partners

Web-testing platform BrowserStack has raised $50 million from venture capital firm Accel in one of the largest financing rounds in the software space, underlining the growing appetite for companies in the space among investors.
 
Mumbai-based BrowserStack, which has since opened offices in Dublin and San Francisco, was till now a bootstrapped venture, a term that denotes a company which has not raised any institutional funding.
 
The transaction is expected to value the seven-year-old company at $400-500 million, said two sources familiar with the development. Both Accel India and Accel Growth have invested in the company as part of the round, with its US-based partner Ryan Sweeny joining the board.
 
The deal was led by Sweeny along with Accel India's Shekhar Kirani and another US partner Nate Niparko.
 
ET had reported in May last year that BrowserStack is being wooed by a slew of investors like Warburg Pincus, Sequoia Capital India, and Microsoft. While Microsoft had offered to pick up a minority stake at a valuation of $400-500 million, BrowserStack founders were seeking $800-million to $1-billion valuation.
Founded by IIT-Bombay batchmates - Ritesh Arora and Nakul Aggarwal - in 2011, BrowserStack is the fourth venture for the duo, and the first to succeed.
 
The company helps software developers visualise what their code will look like and how it will perform across browsers and operating systems like Windows, Android, and iOS. A code has to work across multiple browsers - Windows' Internet Explorer, Apple's Safari, and Google's Chrome.
 
Each browser has its nuances and the behaviour of codes varies on different platforms. The company powers 60 million tests per month across more than 1,200 devices and browser combinations.
 
BrowserStack was the winner of the inaugural ET Startup Awards in the Bootstrap Champ category in 2015. Last year, its annual recurring revenue were estimated to have reached $40-50 million, though the latest numbers could not be ascertained. It has 25,000 unique paying customers including companies like Microsoft, Twitter, Mastercard, Barclays, Gap, TD Ameritrade, Lincoln Financial, myToys, and Yahoo! Japan.
Shoot

Trending News

Why Amazon’s Flipkart bid is just not high enough

Selling without MRP, expiry dates to cost etailers

TCS hits $100Bn market cap: A new phase for India Inc?

Snapdeal posts Rs 4,647 crore net loss in 2016-17

Flipkart-Walmart deal: What it means for the etailer and the whole industry

NCLAT stays CCI penalty of Rs 136cr on Google in search bias case

Walmart may rope in Google parent Alphabet for the Flipkart deal

Internet shutdown cost Indian economy $3 billion from 2012-17: Study

Flipkart and Amazon plan mega summer sales in May

International sales now account for 48% of Twitter's revenues

70% of mobile phones buyers in India opt for non-cash payments

Amazon India expects groceries & household products to account for 50% of business in 5 yrs

India to come out with a E-commerce policy framework in 6 months

Online learning platform Career Anna raises Rs 3 Cr funding

Wal-Mart will offer to buy up to 86% of Flipkart

Agritech startups Sabziwala and LivLush merge their business under new entity Kamatan

Avail Finance lands $17.2M from Matrix Partners & Ola, Freecharge and Flipkart founders

RBI suggests tax sops, self-regulation to build fintech space

Swiggy hires new CEO for its Access Service, gets new CFO

Logistics company Delhivery registers 44% increase in FY17 revenues

WeWork to acquire one of the oldest social networks, Meetup

Qualcomm rejects Broadcom's $103 billion offer

EasyRewardz gets $2 million Series-A funding

'Anemic' iPhone 8 demand drags Apple shares lower

Lending platform Lenden Club gets Rs 3.5cr in Equity Investment

On festive sales, Flipkart says 65% clients from Tier-II cities