Leapwork Raises $62M Series B to Fuel No-Code Automation

Leapwork Secures Denmark's Largest Series B Funding

Copenhagen-based Leapwork, a process automation platform, has successfully closed a $62 million Series B funding round. This represents the largest Series B investment ever secured by a Danish company.

The funding was co-led by KKR and Salesforce Ventures, with participation from existing investors DN Capital and Headline.

Valuation and Previous Funding

Following this investment, Leapwork’s post-money valuation has reached $312 million.

The company previously raised a $10 million Series A round in 2019. Prior to that, Leapwork was bootstrapped, relying on funds contributed by the founders from previous ventures.

Growth and Customer Base

Since the platform’s launch in 2017, Leapwork has experienced substantial growth. Its customer base has more than doubled annually.

Currently, the platform serves over 300 customers globally, assisting them in streamlining routine business operations.

Focus on Software Testing

Leapwork’s tools are particularly well-suited for software testing. The platform is targeted towards quality assurance and test teams within large enterprises.

The company asserts that its no-code technology enables businesses to accelerate their time to market by a factor of ten.

Benefits of No-Code Automation

Leapwork claims its no-code approach delivers significant improvements. These include a 97% increase in productivity and a 90% reduction in application errors.

The platform empowers enterprises to expedite their digital transformations by leveraging their existing skill sets.

Notable Customers

Leapwork’s customer roster includes prominent organizations such as PayPal, Mercedes-Benz, and BNP Paribas.

Company Expansion

Leapwork’s team has expanded to 170 employees. These professionals operate across nine offices located in Europe, North America, and Asia.

The Series B funding will be allocated to accelerate global expansion. This includes expanding local teams in key markets and establishing new technology hubs.

North American Expansion

A key priority is expansion within North America. Leapwork recently opened a new office in New York City.

The company intends to significantly increase the headcount at its New York location over the next year.

CEO Statement

“We aim to be as close to our customers as possible,” states CEO and co-founder Christian Brink Frederiksen. “This means building local teams and expertise in key markets, particularly Europe and North America.”

“We will also invest heavily in product development, doubling the size of our tech hubs in Copenhagen and India within the next twelve months.”

Product Development Focus

Future product development will concentrate on enhancements designed to bridge the gap between human interaction and computer processing.

Market Presence

Europe and the United States represent Leapwork’s primary markets. Approximately half of its customers are based in the U.S.

The company is particularly popular among enterprise clients with complex compliance requirements, with 40% originating from the banking, insurance, and financial services sectors.

Competitive Landscape

While acknowledging the growing no-code market, Leapwork initially described its business as unique.

Upon further inquiry, the company identified “legacy players” like Tricentis, Smartbear, Ranorex, MicroFocus, Eggplant Software, Mabl, and Selenium as competitors.

However, Leapwork maintains that it caters to a distinct audience.

Investor Confidence

Leapwork’s substantial Series B funding demonstrates strong investor confidence in the company’s potential.

Investor Quotes

Patrick Devine, director at KKR, commented on the team’s success in fostering a culture of innovation and execution.

Stephen Shanley, managing director at KKR, highlighted the company’s continuous innovation and boundary-pushing automation platform.

Nowi Kallen, principal at Salesforce Ventures, emphasized the importance of adoption and usage in validating the no-code approach.

No-Code Adoption

The success of no-code solutions hinges on their ability to attract and retain non-developer users. Early indicators suggest Leapwork is achieving positive results in this area.