Telecommunications companies NTT Docomo and Verizon have exited US-based digital cloud software developer Kinvey in a $49m cash acquisition by business application software provider Progress Software.
Kinvey has created a software platform that its corporate customers use to build their own applications. Its technology powers more than 31,000 apps utilised by an estimated 100 million end users.
Progress intends to add Kinvey’s back-end expertise to its existing front-end development offering, analytics and data connectivity technology to form a full open stack platform for creating and deploying cognitive applications.
The company had raised $17.8m, including $10.8m in a 2014 series B round featuring corporate venturing units NTT Docomo Ventures and Verizon Ventures, and venture capital firms Avalon Ventures and Atlas Venture.
Sravish Sridhar, Kinvey’s founder and CEO, said: “At Kinvey, we pride ourselves on providing an unparalleled developer and operational experience for building and deploying modern applications, while staying ahead of the feature curve to support our customers as they think of innovations for their digital business.
“Cognitive-first is the future of new application experiences, and we are thrilled to join Progress as a core component of their leading product portfolio for delivering on this future for our customers.”
Union Square Advisors was Kinvey’s financial advisor for the deal, while Cooley provided legal advice. Wilmer Cutler Pickering Hale and Dorr served as legal counsel for Progress.