Cody YounkinSenior Associate
AppSignal Closes $22 Million Growth Investment to Expand Reach in the Application Performance Monitoring Market
Elsewhere Partners is thrilled to announce a $22 million growth investment in AppSignal, a provider of developer-centric application monitoring solutions based in Amsterdam, Netherlands. With this investment, AppSignal has appointed Elsewhere Operating Advisor and experienced software industry leader Brandon Swalve as CEO and established U.S. headquarters in Austin, Texas. Additionally, Elsewhere Operating Partner Rod Favaron will lead the Board of Directors as Executive Chair, with support from Nick Stoffregen, Partner.
AppSignal provides powerful, accessible, and proactive APM and logging solutions for a variety of environments, languages, and frameworks. AppSignal helps teams at over 2,000 organizations across 60+ countries ship code with confidence. Purpose-built for developers of all levels, AppSignal helps developers automate monitoring workflows, identify and avoid performance issues, and enhance end-user experiences.
“The fragmented APM market is evolving quickly — enterprise observability platforms have become extremely costly and complex for midsize development teams, while lightweight tools lack comprehensive application monitoring coverage. AppSignal fills a significant gap in the midmarket, empowering developers with robust, end-to-end monitoring of their business-critical applications in one simple interface," said Rod Favaron. "We’re excited to support AppSignal’s accelerated expansion and unlock its next chapter of growth."
“I have been incredibly impressed by the product lineup, customer successes and market traction that AppSignal has been able to cultivate,” said AppSignal CEO Brandon Swalve. “I am looking forward to working with the founders to build on the strong foundation they have established by expanding the AppSignal team, speeding innovation, and scaling our marketing and sales efforts to deliver our developer-centric solutions to a broader audience.”
AppSignal will continue to grow its European-based team while expanding the executive leadership, go-to-market, and customer support teams in North America. Founders Roy Tomeij, Thijs Cadier and Wes Oudshoorn will continue to focus on providing the innovative and effortless APM solutions AppSignal customers expect as Chief Customer Officer, Chief Technology Officer and Chief Product Officer respectively.
“Software developers need better APM and logging solutions to manage increasingly complex environments; it was clear we needed to significantly grow our European team and expand into North America to meet the intense demand,” added Tomeij. “The Elsewhere team has a deep understanding of the developer ecosystem, and their support and guidance will help us continue to deliver the exceptional service and support our current customers have come to expect while we scale.”
Prior to Elsewhere’s investment, AppSignal grew organically as a bootstrapped, profitable startup. AppSignal plans to use the financing to rapidly expand into more programming languages and to grow its product development, customer service and operations teams, with a focus on building market traction in the United States while deepening leadership in European markets.
For more information about the investment, read the full press release and company blog post.
About the Author
Cody Younkin
Cody is a Senior Associate at Elsewhere Partners where his responsibilities include evaluation of potential investments, deal execution, and supporting portfolio companies. Previously, Cody spent four years in investment banking at D.A. Davidson where he executed M&A and growth equity transactions for founder-owned software companies.