The deal ‘advances our recovery offerings, strengthens our platform, and reinforces our position as a leading SaaS provider for cyber resilience,’ Commvault CEO Sanjay Mirchandani says.

Hybrid cloud cyber resilience vendor Commvault plans to buy Amazon Web Services-focused Clumio for about $47 million– a fraction of the $261 million Clumio has raised since its founding in 2017.

Tinton Falls, N.J.-based Commvault expects to close the deal in early October with immediate accretion to annual recurring revenue (ARR) and revenue, plus free cash flow accretion within the next three quarters, according to a statement.

Commvault disclosed the purchase price in a regulatory filing, but said in a statement Tuesday that it funded the deal with cash on hand and called the amount “not material to Commvault.” The vendor also maintains the second fiscal quarter earnings guidance it gave in July.

[RELATED: Clumio CEO On How New $75M Funding Will Spur Growth Across Public Clouds]

Commvault To Buy Clumio

CRN has reached out to Commvault for comment.

Commvault has about 7,000 channel partners worldwide and receives about 90 percent of overall sales through indirect channel and alliance relationships, according to CRN’s 2024 Channel Chiefs.

“Combining Commvault’s industry-leading cyber resilience capabilities with Clumio’s exceptional talent, technology, and AWS expertise advances our recovery offerings, strengthens our platform, and reinforces our position as a leading SaaS provider for cyber resilience,” Commvault CEO Sanjay Mirchandani (pictured) said in the statement.

“Joining hands with Commvault allows us to get our cloud-native offerings to AWS customers on a global scale,” Clumio co-founder, Chairman and former CEO Poojan Kumar was quoted as saying in the statement. Kumar stepped down as CEO in June. He co-founded Clumio in 2017.

Kumar was succeeded by Clumio Chief Revenue Officer Rick Underwood, who was not quoted in the press release announcing the Commvault deal. Before joining Clumio in November, Underwood served as CRO of BigPanda for more than a year and worked at Snowflake for about four years, leaving in 2022 with the title of vice president of sales for major accounts in the West, according to his LinkedIn account.

CRN has reached out to Underwood and Kumar for comment.

When Kumar spoke to CRN in February about the latest funding round, he said the company was focused on growth and not yet profitable or cash flow positive. Clumio said at the time of the Series D round closure that it had grown ARR fourfold in 2023. Market research firm PitchBook reported Clumio’s valuation after its $75 million fundraise in February as around $157 million.

The Clumio deal comes on the heels of Commvault’s acquisition of cloud cyber resilience technology provider Appranix.

During Commvault’s quarterly earnings call in July, the vendor’s CEO said that Commvault Cloud had been made available on the AWS marketplace for U.S. federal government users, according to a call transcript.

In August, Commvault said it had expanded its cyber and data security ecosystem with strategic integrations with partners including Google Cloud, Splunk and Wiz. In July, the vendor unveiled a Microsoft 365 Backup Storage integrated component of Commvault Cloud Backup and Recovery for Microsoft 365.

Commvault reported total revenues of $224.7 million for the first fiscal quarter ended June 30, an increase of 13 percent year over year.

The vendor saw total ARR of $803 million, up 17 percent year over year, and operating cash flow of $44.7 million, according to a statement from the time. Commvault’s free cash flow was $43.8 million. Commvault ended the quarter with about $287.9 million in cash and cash equivalents.

Commvault told investors to expect second fiscal quarter total revenues of between $218 million and $222 million, an operating margin between 19 percent and 20 percent not using Generally Accepted Accounting Principles (GAAP).

For the fiscal year, Commvault said at the time to expect total revenues between $915 million and $925 million, total ARR to grow 15 percent year over year, non-GAAP operating margin between 20 percent and 21 percent and free cash flow of at least $200 million, according to a statement from the time.