Arena Solutions has prospered as supply chain management moves increasingly into the cloud. On Tuesday, the product management software firm received a booster shot to further fuel growth.
Arena said that it had accepted an investment from JMI Equity, a private equity firm that targets cloud software companies that have survived beyond the start-up phase. Neither company disclosed the investment’s size, but it is likely to be at least seven figures.
In 2014, JMI Equity raised $1 billion in its latest fundraising round. The firm typically strikes deals between $15 and $100 million, according to its website. As part of the firm’s deal with Arena, JMI Equity general partner Brian Hersman and principal Suken Vakil will take board seats.
Founded in 2000, Arena rents out cloud software that helps manage product life cycles, supply chains, and product quality for companies that sell complex electronics. The software connects electrical, mechanical, and software engineers, allowing them to collaborate with product, quality, and manufacturing teams at companies like GoPro and eBay.
“This is the right time for our business to take its next step as we are in the midst of a sustained customer expansion and evolution of our industry-leading product platform,” said Craig Livingston, Arena’s chief executive officer, in a statement.
As a private company, Arena does not publicly report revenues, but the company announced last month that its second quarter business was 35% higher than the same period last year. Its customer roster also expanded to include Mayfield Robotics, which makes the Kuri home robot, and healthcare replacement part supplier PartsSource.
The investment comes as enthusiasm builds for the cloud, where companies can monitor and manage supply chains and warehouses. Last year, a survey by the trade publication Supply Chain World found that 58% of industry executives and managers ranked cloud computing as disruptive for the supply chain, up from 33% in 2014.