Although this is a US capital raising, its size, ambitions and focus on in-house legal, means that it has a good chance of having an impact on the Australian legal market.
Litify, a software platform that empowers law firms to better service their clients and grow their business, has announced a Series A investment of $50 million by Tiger Global Management, LLC, a New York investment firm.
Some of the largest recent legal software capital raisings around the world have been eDiscovery company DISCO US$83 million in early 2019 and Atrium LTS in late 2018, raising US$65 million. The capital raising announced by Litify is the equivalent of A$70 million – thank to our weak A$ – and is certainly one of the largest single injections of funds to develop software for the legal market. There have been deals in the hundreds of millions of dollars but they have generally been related to companies older than 10 years with significant and growing revenue. Litify is a company that is about 2.5 years old and now has US$50 million to play with.
Official announcement excerpt:
The financing will be used to fund Litify’s continued growth and general operations, with a focus on expanding its offerings to a broader customer base, including in-house counsel, a corporate law offering for mid-to-large size firms, and an off-the-shelf solution for smaller-sized law firms.
“Tiger Global’s investment will allow us to continue growing and to partner with more law firms across the globe and further enhance the customer experience. We’re thrilled to have the backing and confidence of a premier tech investment firm with such a proven track record,” said Reuven Moskowitz, founder of Litify. “The additional capital will allow Litify to accelerate our growth and put more resources toward our products and our customers’ success in support of our ultimate goal of transforming the legal industry.”
Litify’s software is designed to bring greater structure, automation and transparency to law firms’ day-to-day operations. The software improves law firm efficiency by providing an intuitive and extensible platform for client relationship management, document and case management, internal and external communication, and more all in one integrated platform. Built on top of the Salesforce.com platform, Litify brings the power, trust, security and stability of Salesforce to law firms with custom applications tailored specifically for the legal industry.
“Litify is helping law firms transform the way they operate and materially improve their productivity. We are excited to partner with them as they continue to innovate and grow,” said Scott Shleifer, Partner, Tiger Global.
Litify was born out of the founders’ vision to revolutionize the business of law. Recognizing a significant gap in the fragmented legal technology industry, the company pioneered an innovative solution for transforming law firms into high-performing businesses.
Built on top of Salesforce.com—the world’s most secure and flexible platform—Litify integrates marketing, client management, intake, matters, documents, referrals, reporting, and finance, all in a single, secure, easy-to-use application. By leveraging the power of technology to simplify daily tasks, Litify gives law firms the tools they need to become high-performing businesses. For more information visit www.litify.com.
ABOUT TIGER GLOBAL MANAGEMENT, LLC
Tiger Global Management, LLC, is an investment firm that deploys capital globally. The firm’s fundamentally oriented investments focus primarily on the global internet, software, financial technology, consumer and industrial sectors. The private equity strategy has a ten-year investment horizon and targets growth-oriented private companies. Such investments have included Spotify, Harry’s, Warby Parker, Peloton, JD.com, Facebook, LinkedIn, Yandex, Mail.ru Group, Despegar, Ola and Flipkart. The public equity efforts emphasize deep due diligence on individual companies and long-term secular themes. Tiger Global Management, LLC, was founded in 2001 and is based in New York with affiliate offices in Hong Kong, Beijing, Singapore, Bangalore and Melbourne.