Investing.com — Databricks, a firm specializing in Data and AI, has completed its Series J funding round, with the company now valued at $62 billion. The funding round included participation from existing investor QIA, the sovereign wealth fund of the State of Qatar, as well as new investors such as Temasek and entities managed by Macquarie Capital. Additionally, Meta (NASDAQ:META) has joined the round as a new strategic investor.
The capital raised from this funding round is earmarked for the development of new AI products, potential acquisitions, and expansion of Databricks’ international go-to-market operations. The company also plans to use the funds to provide liquidity for current and former employees and to cover related tax expenses.
In a significant addition to its equity financing, Databricks secured a $5.25 billion credit facility. This was led by JPMorgan Chase (NYSE:JPM) and included contributions from Barclays (LON:BARC), Citi, Goldman Sachs, and Morgan Stanley (NYSE:MS), as well as other prominent financial institutions and alternative asset managers. The credit facility comprises a $2.5 billion unfunded revolver and a $2.75 billion term loan.
Ali Ghodsi, Co-Founder and CEO of Databricks, commented on the enthusiastic response from investors. He said that the firm’s new and existing investors and strategic partners who participated in the round believe in Databricks’ vision and its potential market impact. Ghodsi emphasized the importance of modernizing data and AI infrastructure, highlighting its potential for generative AI and its critical role in helping enterprises achieve their business objectives.
Databricks’ Data Intelligence Platform democratizes access to data and AI, enabling organizations to leverage their data for analytics, machine learning, and AI applications. The platform, built on an open-source foundation, allows organizations to drive innovation, increase revenue, lower costs, and reduce risk.
Mohammed Saif Al-Sowaidi, CEO of QIA, expressed his excitement about deepening their commitment to Databricks through this follow-on investment. He emphasized QIA’s strong belief in Databricks’ leadership and strategic positioning, stating that Databricks has become the leading platform within the AI infrastructure software space.
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