G2 Crowd, the US-based business software and services marketplace backed by social media platform LinkedIn, raised $55m yesterday in a series C round led by venture capital firm Institutional Venture Partners (IVP).
The round included investment firm Pritzker Group and VC firms Emergence Capital and Accel. A source close to the company told TechCrunch the round valued it at almost $500m, and IVP investor Jules Maltz has joined its board of directors.
Founded in 2012, G2 runs an online marketplace where businesses can source software and services in addition to being able to view extensive reviews on each product.
The funding will support a recruitment drive G2 said will involve a fivefold increase in headcount at its Chicago and San Francisco offices and additional hiring in other countries. It also plans to increase the procurement management services it offers.
Godard Abel, co-founder and chief executive of G2 Crowd, said: “We started as a way to help companies make better buying decisions. Now, the focus is on helping them reach their potential through digital transformation, more quickly than ever.”
G2 has now raised more than $100m in total, $30m of which came in a May 2017 round featuring LinkedIn, now a subsidiary of software provider Microsoft. That series B round was led by Accel and also featured Pritzker Group Venture Capital and various private investors.
The company had previously received $7m in a 2015 series A round led by Pritzker and backed by Chicago Ventures, Hyde Park Venture Partners and several individual investors.
