Elastic Path Software today announced a new growth equity financing of $4 million from Yaletown Venture Partners.
The Vancouver-based startup has secured $12 million in financing in the past two months—it raised an $8 million debt facility from Toronto's Wellington Financial in June.
The new funding will allow Elastic Path to "aggressively pursue new business and strategic opportunities in the fast-growing ecommerce software and API commerce markets," according to the Canadian company.
"We're proud to be partnering with the investing veterans at Yaletown, as it further strengthens our dominant position in the digital commerce market," says Harry Chemko, CEO of Elastic Path. "By 2015, analysts project that revenue from digital goods and services will grow 300% faster than ecommerce revenue of physical goods. With this financing, we're in an excellent position to capitalize on that growing opportunity."
"We were attracted to Elastic Path's leadership team, their impressive global list of digital commerce customers, and broad technology portfolio, including Cortex, their patent-pending API solution for embedding commerce everywhere," says Mike Satterfield, Partner with Yaletown Venture Partners. "We believe that enterprises are increasingly looking to API commerce solutions to turn digital experiences into amazing revenue streams, and Elastic Path is at the forefront of that movement."
In a recent research paper commissioned by Elastic Path, Forrester Consulting found that nearly 70% of IT professionals believe that having a unified digital experience is of strategic importance to their company's growth plans. The majority said the way to accomplish that was through an API commerce strategy.