This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Cloudera Raises $900M Round

NEW YORK (The Deal) -- Cloudera, a startup that helps corporate customers sort and analyze massive amounts of data, has raised $900 million from a who's who list of names ahead of speculation the company could go public before year's end.

Palo Alto, Calif.-based Cloudera said that the round was led by Intel (INTC), which invested more than $700 million in exchange for an 18% stake. Other investors include T. Rowe Price, the venture arm of Google (GOOG) and MSD Capital, the private investment arm of Michael Dell.

Cloudera is a distributor of Hadoop data management software. As part of the deal Intel will champion Cloudera's version of Hadoop instead of a version it has previously pushed for servers that use Intel chips. Cloudera management in a statement said that the massive round reflects the potential for Hadoop, and specifically their version of the software.

"Clearly demand is accelerating and the market is poised for growth - for all of the players in this space, and we believe Cloudera will be the company to lead this global shift in extracting value from data," CEO Tom Reilly said. "This position of strength and leadership is evidenced by the strong support of public market investors, large institutional investors and now key strategic investors including Intel, who've made sizable and significant contributions to cement our platform offering."

Cloudera has been considered by many a likely initial public offering candidate for later this year, and bringing in late-stage investors like T. Rowe will likely do little to stem that talk. The mutual fund operator took stakes in tech titans, including Facebook (FB) and Twitter (TWTR) not long before their IPOs.

Cloudera cited Gartner estimates that data management infrastructure will be a $74 billion market in 2014, growing to 
$94 billion by 2017. The company was an early champion of Hadoop since its founding in 2008, and has benefitted as others in the industry have embraced the standard.

The company said the new funds will be used to support its collaboration agreement with Intel and to push its wares in North America as well as expand in Europe and Asia. Cloudera said it expects new investors, in particular Intel, to help it to expand in China and elsewhere.

"Intel's sizable investment in Cloudera, alongside funding from institutional investors, Google Ventures and MSD Capital, are all indicative of both the very large market opportunity and the leadership position of Cloudera," company CFO Jim Frankola said. "These investments give us significant financial resources to accelerate growth and deliver long-term sustainable value to our customers and partners."

Dean Bradley Osborne Partners LLC and Allen & Co. served as financial advisers on the deal, which is expected to close during the second quarter.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,131.97 +100.83 0.59%
S&P 500 1,998.98 +14.85 0.75%
NASDAQ 4,552.7590 +33.8570 0.75%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs