DocuSign has closed the book on a new round of funding worth $85 million [£51 million] that values the electronic signature software company at upwards of $1.6 billion [£960 million].
The Wall Street Journal quotes two people briefed on the matter as stating that the San Francisco based firm raised the new funds with institutional investors and the valuation of $1.6 billion [£960 million] came from a third person that has been briefed on the fundraising.
It will use the new money to build up its worldwide e-signature business and plans to open new offices in a number of new territories in 2014 and in turn double the workforce to approximately 650 people. Brazil, France, Germany and certain parts of Asia are among the places it will set up shop and by the end of 2014 it hopes to be employing over 1,000 people around the globe.
Morgan Stanley is reportedly assisting it with the fund-raising and it follows the over $100 million [£60 million] that it already raised in venture funding before the current cash injection. It leads many to believe that it is gearing up to launch an initial public offering [IPO] as opposed to it being a takeover target – including the company itself.
“It would be close to impossible for anyone to pay us what we are valued at because we cross more than one vertical. We won’t be acquired. An IPO is logical at some point,” Mike Dinsdale, CFO at DocuSign, told the WSJ late last year.
Approximately 48 million customers send, sign and store documents using the service with the number boosted through 2013 as a result of it joining Box’s partner network. There is currently no expected date for the IPO and it’s likely to be watching fellow Silicon Valley IPOs before taking the plunge.