DigitalOcean, claimed to be one of the simplest cloud computing platforms built for developers, announced that it has secured a $130 million credit facility to purchase more servers and continue its global expansion. The company announced in February that their next datacenter opening will be in Bangalore, India this coming summer.
Headquartered in New York City, DigitalOcean has catered to the developer community by offering on-demand cloud computing resources that can be deployed in seconds at a great price point. In 2015 DigitalOcean became the 2nd largest hosting company in the world, as per Netcraft, a cloud infrastructure research firm.
“We are delighted with the outcome of our credit facility. It complements the $83 million Series B equity financing that we closed in June 2015 and our strong cash flows and balance sheet in pursuing long-term growth opportunities,” commented Brian Cohen, Chief Financial Officer of DigitalOcean.
The company plans to utilize these credit facilities to purchase equipment in order to continue its global expansion and support increasing demand. Over the past two years the company has experienced rapid growth, expanding their registered customer base from 250,000 to 700,000 users that have launched over 13 million cloud servers.
“Today, India is one of the most important technology markets in the world,” said Ben Uretsky, Co-Founder and CEO of DigitalOcean. “We are looking forward to getting our new facility running as soon as possible.” Considering the number of software developers throughout India will grow to over 5 million by the year 2018 – surpassing the number of developers in the United States – it’s clear that the region is an important one for DigitalOcean.
“These financing transactions contribute to our goal of building the next generation cloud for software developers,” says Ben Uretsky, CEO of DigitalOcean. “We’ll be releasing new products and features in the upcoming months that will enable larger production environments to scale on our cloud infrastructure.”
KeyBanc Capital Markets Inc. led the financing as Joint Lead Arranger and Joint Bookrunner and KeyBank National Association is the Administrative Agent and a lender. The other banks participating in the deal include Barclays Bank PLC, Pacific Western Bank, East West Bank, Opus Bank, Webster Bank and HSBC Bank USA.