Gleb Budman’s Post

Backblaze successfully raised an upsized $35m in a follow-on public offering this week! Read more > https://lnkd.in/gnRnQMbx The round was oversubscribed with 80% of our 1:1 investor meetings turning into orders, which is a great investor hit rate. The book included high quality investors, including existing ones that doubled-down and a good number of new ones. -> Why did we raise? As we shared in our Q3’24 earnings, we don’t need the money to fund the business and intend to be free cash flow positive in Q4 2025. However, we felt it was prudent to have a stronger balance sheet, and, in speaking with investors we heard that a number were hesitant to invest because our balance sheet was lower than they desired. -> Our Financial North Star We are focused on making Backblaze a Rule of 40 company, including both a high growth rate and cash flow profitability.  We have a disruptive cloud storage technology.  We are excited about our comprehensive go-to-market transformation to accelerate our revenue growth, and our recent Zero Based Budgeting actions to accelerate our path towards being free cash flow positive. Thank you to our CFO Marc Suidan, MBA, CPA, head of IR Mimi Kong, and general counsel Tom MacMitchell and to the teams at Oppenheimer & Co. Inc. (Nitin Doke, Peter Bennett, John Hyland), Needham & Company (Laura Black, @matt castrovince), Craig-Hallum Capital Group (Jack McCarthy), Gunderson Dettmer(Jeff Vetter and John Maciejewski) and Underwriter’s counsel at White & Case LLP (Jessica Chen) for helping execute successfully on this. There were, as you can imagine, many many others behind the scenes making this possible -> thank you to all of you. And, the success of the fundraise is really a testament to the fundamentals of the company that all of our team is creating and the value we provide to customers. I’m excited to have us continue to provide increasingly innovative cloud storage to our customers.