Legaltech firm DISCO raises $60m
A leading legal technology company has raised $60m in an equity finance deal with top investment partners.
Investors in DISCO include Georgian Partners, Investors Bessemer, Venture Partners, LIveOak, Breyer Capital and The Stephens Group.
The award-winning, Texas-based company, which applies AI and cloud computing to assist lawyers and legal teams to improve case outcomes, has a current valuation of $785m.
Experts believe the DISCO valuation demonstrates investor confidence in legaltech as a category of enterprise cloud computing. The company is now a valued partner for the biggest legal departments, law firms, and government agencies globally.
The latest round of funding also takes the total investment in DISCO to $195m. This solidifies the company’s leading position in the enterprise legal technology sector. DISCO’s products and services cover the investigation and litigation lifecycle, making it the market-leader in the cloud and e-discovery market.
Conquering the cloud
The switch to cloud computing is now a critical strategy for corporate legal departments and law firms. The COVID-19 pandemic has sped up the need for organisations to ditch their legacy systems and embrace those that accelerate the digital transformation. Legaltech solutions enable team members to work remotely. Legal professionals also recognise DISCO’s role in improving legal outcomes for clients by enabling them to focus on the practice of law.
Kiwi Camara, DISCO’s founder and CEO, said: “We are building the enterprise software system of record for the legal function. Every major company has a legal department and spends money on legal services, but there is very little software built to help legal professionals do their work.”
He continued: “We want to change that. Legal is a critical business function just like sales or marketing or finance. We believe that software can transform the legal function just as it has transformed every other business function. DISCO is positioned to build for legal the kind of horizontal platform that Salesforce built for sales.”
Camara explained that DISCO will use this investment to aggressively expand its go-to-market team, doubling sales capacity in North America over the next 12-15 months. Expanding the company’s enterprising sales team and well as growing the presence in the EMEA and APAC regions are also on the table.
DISCO will expand its strategic channel programme, joining forces with service providers that resell DISCO. The company will also concentrate on building its cloud technology platform and software products, including DISCO Case Builder, DISCO Managed Review and DISCO E-discovery.
Tyson Baber, Lead Investor at Georgian, commented: “In an emerging space like legal technology, real-world solutions require both world-class technology and first-rate professional services. DISCO delivers both. The investment in engineering and development of their proprietary platform, coupled with their incredible team, makes them well-positioned to help legal teams embrace the future.”