Subscribe to the Crunchbase Daily
Chef, which was founded in 2008 and is based in Seattle, has more than $70 million in annual recurring revenue, according to a statement from the companies. It has raised at least $105 million in total funding from investors including Battery Ventures and Ignition Partners. The company last raised money with its $40 million Series E in September 2015, according to Crunchbase.
“This acquisition perfectly aligns with our growth strategy and meets the requirements that we’ve previously laid out: a strong recurring revenue model, technology that complements our business, a loyal customer base and the ability to leverage our operating model and infrastructure to run the business more efficiently,” Progress CEO Yogesh Gupta said in a statement. “We’re thrilled to add Chef to our product portfolio and are confident that this acquisition will provide benefit to both organizations, as well as our customers, partners, investors and the Chef community.”
Massachusetts-based Progress will pay $220 million in cash for Chef in the deal, which is expected to close in October.
Illustration: Li-Anne Dias