OutSystems, a Portuguese provider of low-code application development solutions, has successfully raised $360 M from the private equity group KKR and Goldman Sachs. The deal values the company at well over $1 Bn. The investment was done through the Next Generation Technology Growth Fund of KKR and will be used for accelerating business expansion and advancements in software automation.
OutSystems is a growth-stage company employing around 700 people. By leveraging automation and artificial intelligence, its platform helps customers to create their own web applications. Through visual graphical user interface, the traditional process of software development is transformed into a faster, user-friendly activity, suitable for non-programmers. The platform is used by over 400 enterprises in 25 countries, with clients including companies such as Toyota, Logitech, Deloitte, Ricoh, Schneider Electric, and GM Financial.
Paolo Rosado, CEO of OutSystems is confident about the advantages of low-code development platforms: “We’re attacking one of the biggest problems facing businesses today – the lack of speed and agility of traditional software development that is hindering digital transformation initiatives around the world.”
In a similar manner, Lucian Schönefelder, Partner at KKR expressed his optimism about the future of low-code development: “This is an important deal because of the size of the investment and because this is a next-generation software business.”
Market projections are also positive. According to a report by Forrester, a renowned research and advisory firm, the market for low-code development platforms is expected to grow from $3.8 Bn to $15.2 Bn in 2021.
