TigerText, a US secure, real-time messaging for businesses, has closed a $21m series B round of funding. The investment round was led by Shasta Ventures who was joined by OrbiMed, Reed Elsevier Ventures, and Telus Corporation, along with returning Series A investors, Easton Capital, New Leaf Venture Partners, and New Science Ventures. The latest round brings the company’s reported funding to $31.2m.
Through the TigerText app, staff and colleagues can securely message each other from any smartphone, tablet or computer within an environment that can be managed by the enterprise. TigerText addresses the increased proliferation of SMS into workplace conversations that are not industry compliant and can pose data breach risks to companies.
According to Brad Brooks, Co-Founder and Chief Executive Officer of TigerText, the new capital will help support the company’s continued expansion efforts to meet demand from enterprises for its messaging service.
In 2013, TigerText achieved its third consecutive year of triple-digit sales growth, as sales climbed more than four times the previous year. Working with 7% of the Fortune 500 and dozens of the United State’s top 100 hospitals, the number of new TigerText customers grew by triple digits, while customer retention remained greater than 95%. The Company’s rapid growth can be attributed to enterprises adopting TigerText’s security-driven messaging solution to safeguard their communications, improve collaboration, and comply with industry regulations.
“I’m impressed by both the innovation they have brought to the market, and how well they have executed,” said Steve Yecies, Venture Partner at OrbiMed. “TigerText has the team, technology and vision to scale within the mobile messaging space and has a strong record of success with their customer acquisition model and remarkable sales growth.”
The company raised $2.2m of seed funding in 2010. It later raised in 2012, $8m in a series A round led by Easton Capital and New Science Ventures.