SirionLabs raises $44 million, signals its arrival at the CLM winners podium [PRO]

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SirionLabs just announced it has raised $44 million in a Series C round that brings cumulative fundraising to $66 million for the contract lifecycle management firm with 400+ personnel. This is a major funding round and vote of confidence for SirionLabs as it moves into the leading positions top CLM market players, which includes providers such as:

  • Icertis, the current unicorn in the CLM pack. Both Icertis and SirionLabs are based in the U.S. with large development teams in India.
  • DocuSign, the ubiquitous e-signature vendor that has moved up the value stack by acquiring sell-side-centric CLM player SpringCM and also acquiring AI-pioneer Seal Software (a very smart move).
  • Apttus, now owned by Thoma Bravo, just announced its acquisition of Conga to help it penetrate the huge Conga customer base (another smart move albeit with some CLM application overlap in the portfolio).
  • Agiloft, an innovative CLM and services management application provider built upon a no-code platform that brings usable RPA and AI “in a box” alongside the apps.

We’ve been covering SirionLabs (and all of these players) for a long time. In its six-year history SirionLabs started out as a niche tool for managing strategic third-party relationships (and the contracts that sit underneath). It’s the detailed modeling of those complex services contracts that SirionLabs has mastered. You can see this in the webinar that we participated in with Unilever where Unilever has used SirionLabs to handle complex services contracts with literally tens of thousands of contractual measurements.

It’s this ability to model complex service levels and obligations (and the associated risks, opportunities and downstream “value leakage”) with a best practices knowledge base that is embedded into its system content and analytics (much of it with robust native machine-learning capabilities). This is why we’ve counseled SirionLabs to go all guns blazing into CLM, because in an everything-as-a-service (XaaS) world that is increasingly digitized, externalized and complex, the contract gets elevated from a one-size-fits all risk transference document owned by the legal department to an ultimate commercial system of record for business value — especially in B2B (this is also far more than a siloed sell-side CPQ systems that configure customer-facing proposals/quotes).

We call this new prospect for contracts and business value “Commercial Value Management” and it’s an underlying competency that underpins all enterprise business applications that manage processes or services that deliver business value — hopefully all of them!

SirionLabs has attained “Value Leader” status in our CLM SolutionMap for a while, with good reason: It has leading solution capabilities and it gets good marks from its customers. Some of the other industry analyst firms are only now starting to wake up to SirionLab’s capabilities. Our SolutionMap has hundreds of requirements in it and reflects our deep assessment and also pure voice-of-the-customer assessments, which is a differentiated methodology relative to the “magic wave scape matrices” out there. In fact, we’re in the midst of evaluating SirionLabs right now for our upcoming Fall 2020 SolutionMap release, and they’ve made huge strides in usability and AI, while furthering the embedding of deep knowledge and best practices into the platform.

So, how will the CLM battle play out with some of the players above? And what does this mean from an M&A and investment perspective? We’ll address this now in the rest of this Spend Matters PRO brief, and we offer some related PRO articles below.

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