Zerto Closes $15 Million in Series B Funding, Unveils Commercial Availability

HERZELIA, ISRAEL and BOSTON, MA — August 15, 2011 — Earlier this summer, Zerto launched a bold reinvention of business continuity and disaster recovery (BC/DR) technology in order to meet the needs of today’s virtualized data centers and cloud environments. Today, the company announces the successful completion of a $15 million Series B funding round led by U.S. Venture Partners (USVP) alongside existing investors Battery Ventures and Greylock Partners. In addition, Zerto announces the commercial availability of ‘Zerto Virtual Replication,’ the industry’s first hypervisor-based replication solution for large enterprises.

“With many companies seeking to move their critical applications to virtualized and cloud-based environments, the lack of adequate BC/DR solutions has been a major impediment,” said Jacques Benkoski, Ph.D., Venture Partner at USVP. “We are pleased to be able to invest in an experienced team and a solution that enables the next major wave of virtualization and cloud adoption by Fortune 500 companies.”

Zerto Virtual Replication is a hypervisor-based solution, meaning that replication happens within the virtual infrastructure of the data center, as opposed to the physical storage arrays. By moving replication to the hypervisor, companies gain all of the benefits of virtualization such as flexibility, mobility and scalability in their disaster recovery solutions. Until now, the most common replication technologies for BC/DR were tied to the physical environment. They were not optimized for virtual environments, leading to many operational and organizational challenges. Zerto’s hypervisor-based replication changes this by combining the enterprise-class features of physical replication with the flexibility, ease of management and control, and scalability of virtual environments. Zerto’s solution meets the strict performance and compliance criteria that large companies have when protecting mission-critical applications.

“It is an honor to welcome USVP and specifically Jacques, who has considerable domain expertise, to our board,” said Ziv Kedem, founder and CEO, Zerto. ”The Series B funding round helps Zerto ramp up to meet demand from direct and channel customers. We’ve worked with great beta customers to get to where we are, and are very pleased to announce that the Zerto Virtual Replication product is ready for prime time.”

Zerto received its initial funding from Battery Ventures and Greylock Partners. The company was founded by Ziv Kedem and Oded Kedem, the minds behind Kashya. Acquired by EMC in 2006, Kashya’s product is now the basis for EMC’s RecoverPoint, currently one of the world’s leading replication solutions.

USVP, a top-tier venture capital firm and new Zerto investor, has helped entrepreneurs build world-class companies since 1981. More information on USVP can be found here: www.usvp.com

About Zerto

Founded by a team of storage industry veterans, Zerto provides enterprise-class business continuity and disaster recovery solutions for virtualized infrastructure and the cloud. Zerto Virtual Replication is the industry’s first hypervisor-based replication solution for tier-one applications, replacing traditional array-based BC/DR solutions that were not built to deal with the virtual paradigm. Backed by U.S. Venture Partners, Battery Ventures and Greylock Partners, Zerto is headquartered in Israel and the United States. For more information, please visit: zerto.com

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