SaltStack

Deal Snapshot

Company: SaltStack, Inc.

Website: www.saltstack.com

Sector / Category: Infrastructure automation / cloud management / security automation

Headquarters: Lehi, Utah

Founded: 2012

Investor: Frazier VC

Investment Vehicle: Fund I

Deal Type: Secondary purchases

Company Overview

SaltStack built infrastructure automation software used by IT, DevOps, NetOps, and security teams to configure, manage, secure, and orchestrate complex digital environments at scale. The company was known for its event-driven automation approach and its roots in the Salt open source project, which helped it establish credibility with technical users while expanding into enterprise software for hybrid cloud, compliance, and vulnerability remediation.

Public Funding / Capital Events

Feb 14, 2018 — $15.5M Series A financing SaltStack announced a $15.5 million Series A round led by Mercato Partners. The company said the financing brought total funding to $28 million and noted prior investments from Peak Capital, EPIC Ventures, and Deep Fork Capital.

Sep 29, 2020 — Acquisition announced by VMware VMware announced its intent to acquire SaltStack to strengthen its cloud automation portfolio and extend automation capabilities across infrastructure and application environments. Public reporting and company statements positioned SaltStack as a strategic fit for VMware’s broader multi-cloud and automation strategy.

Oct 13, 2020 — Acquisition completed by VMware A later VMware-related Business Wire release states that VMware completed its acquisition of SaltStack on October 13, 2020. After closing, SaltStack continued as part of VMware’s infrastructure automation and SecOps efforts.

Investment Summary

Frazier VC invested in SaltStack through Fund I via secondary purchases in September 2016 and June 2018.

Why We Invested

SaltStack operated in a category with strong structural tailwinds as enterprises faced growing complexity across cloud infrastructure, security operations, and distributed systems management. Its event-driven automation model was differentiated from narrower point tools because it could serve multiple operational workflows across configuration management, orchestration, compliance, and remediation. That breadth, combined with open source roots and enterprise adoption, created meaningful workflow embed and switching costs over time. The company also benefited from a leadership team that successfully translated technical community traction into a strategic enterprise software platform.

Other Investors

• Mercato Partners

• Peak Capital

• EPIC Ventures

• Deep Fork Capital

• Album VC

• BYU Cougar Capital