Digital transformation services provider Suse agreed yesterday to buy Rancher Labs, a US-based database software provider backed by telecommunications firm Telstra, for a price sources told CNBC will be between $600m and $700m.
Rancher has built an open-source software platform with 37,000 active users that allows enterprises to use containerised application management platform Kubernetes on premises, in the cloud, via data centres or the point at which an enterprise network connects to third-party apps.
The deal will allow Suse to add Kubernetes expertise to a product offering that already includes solutions for edge computing, artificial intelligence and open-source operating system Linux.
The company had raised $95m since being founded in 2014. Telstra led its $40m series D round through corporate venture capital subsidiary Telstra Ventures in March this year.
Telstra Ventures was joined in the series D round by existing investors F&G Ventures, GRC SinoGreen, Mayfield Fund and Nexus Venture Partners.
Melissa Di Donato, chief executive of Suse, said: “This acquisition enhances our ability to offer a more comprehensive portfolio, greater customer choice and no vendor lock-in.
“It will also enable us to play an even more strategic role with cloud service providers, independent hardware vendors, systems integrators and value-added resellers who are eager to provide greater customer experiences.”
