Commvault has announced its intention to acquire Clumio, a data protection startup founded by a former executive from Nutanix, VMware, and Oracle. This strategic acquisition aims to enhance the recovery speed for applications hosted on AWS, particularly in scenarios involving hacks or significant outages. By integrating Clumio’s capabilities, Commvault intends to facilitate quicker recovery of Amazon S3 data, strengthening its data protection services.
The acquisition will not only bolster Commvault’s existing offerings but also enable Clumio to expand its services on a global scale. This move is expected to enhance Commvault’s cloud-native protection technologies, allowing them to reach a broader audience and providing customers with improved resilience and recovery solutions in the cloud environment.
The acquisition of Clumio by Commvault allows the latter to enhance its offerings in cyber resilience, particularly for next-generation applications built on AWS. Clumio, which serves notable clients like Atlassian, Cox Automotive, Duolingo, and LexisNexis, has made significant strides in providing solutions that ensure near-instant access to Amazon S3 data during critical recovery operations.
Commvault’s CEO, Sanjay Mirchandani, emphasized the importance of rapid recovery in the face of outages or cyberattacks, stating that combining Commvault’s capabilities with Clumio’s technology and AWS expertise will enhance their recovery offerings and solidify their status as a leading SaaS provider for cyber resilience.
Poojan Kumar, co-founder of Clumio, expressed excitement about the partnership, noting that joining Commvault would enable Clumio to extend its cloud-native offerings to AWS customers globally.
The asset acquisition is projected to close in early October 2024 and is expected to positively impact annual recurring revenue (ARR) and free cash flow within three quarters. The purchase price is deemed non-material for Commvault and will be funded using existing cash reserves. Commvault has reiterated its fiscal second-quarter 2025 earnings guidance previously announced on July 30, 2024.
BofA Securities acted as a financial advisor, while Hogan Lovells LLP provided legal counsel for the transaction.
About Commvault: Commvault (NASDAQ: CVLT) is the gold standard in cyber resilience, helping more than 100,000 organizations keep data safe and businesses resilient and moving forward. Today, Commvault offers the only cyber resilience platform that combines the best data security and rapid recovery at enterprise scale across any workload, anywhere—at the lowest TCO.
About Clumio: Clumio helps organizations simplify data protection in AWS. Its secure air-gapped SaaS backup solution enables organizations to achieve ransomware protection, backup and restore data in minutes, and gain better visibility to optimize cloud storage costs.
