ORIX Corporation USA's Growth Capital Business Invests in Piano

Rhea-AI Summary

ORIX USA's Growth Capital business has closed a debt financing facility for Piano Software, a global leader in digital experience management, customer journey orchestration, and advanced analytics. The financing was completed alongside Piano's Series D equity fundraise led by Updata Partners.

This marks the second collaboration between ORIX USA and Piano, following their initial debt financing partnership in 2019. Piano has experienced significant growth and expansion through multiple acquisitions since then. Since its inception in 2001, ORIX USA's Growth Capital business has provided $2.7 billion in funding to over 200 companies with customized equity and debt solutions.

Positive

• Secured new debt financing facility alongside Series D equity fundraise
• Demonstrated continued growth and successful expansion through multiple acquisitions
• Renewed partnership with previous investor indicates strong business performance

Negative

• None.

Insights

Financial Analyst

The announcement of Piano's dual financing - combining debt facility from ORIX USA with Series D equity from Updata Partners - represents a sophisticated capital structure optimization strategy. This hybrid approach typically indicates strong unit economics and predictable cash flows, as debt providers require reliable repayment metrics.

The repeat investment from ORIX USA is particularly noteworthy, as it validates Piano's execution since the 2019 financing. In the digital experience management sector, where Piano operates, customer retention metrics and expansion revenue are critical success indicators. ORIX USA's willingness to double down suggests Piano has demonstrated strong performance in these areas.

The timing of this financing is strategic, occurring amid a market environment where growth-stage companies are increasingly turning to debt facilities to extend runway without dilution. Piano's ability to secure both debt and equity in the current market signals robust fundamentals and suggests the company has maintained strong growth metrics despite broader market headwinds.

For ORIX (IX), this transaction aligns with their broader strategy of expanding their growth capital portfolio, which has now deployed $2.7 billion across various sectors. The deal reinforces ORIX's position in the growth-stage technology financing market, particularly in supporting companies with proven business models transitioning from pure media focus to multi-vertical expansion.

NEW YORK--(BUSINESS WIRE)-- ORIX Corporation USA’s (“OCU”) Growth Capital business today announced it has successfully closed a debt financing facility for Piano Software, Inc. (“Piano”), a global leader in digital experience management, customer journey orchestration, and advanced analytics. The financing was completed alongside the close of the company’s Series D equity fundraise led by Updata Partners, a Washington, D.C.-based growth equity firm focused on technology.

“Piano has built an impressive set of market leading, mission-critical products for companies around the world to maximize digital engagement, personalization, and user insights across their customer bases," said Blake Zhang, Senior Director of OCU’s Growth Capital business. "It is our pleasure to be collaborating with Piano again as a long-term capital partner to support its continued success within the media industry and expansion into other verticals.”

"We’re delighted to be partnering with ORIX USA’s Growth Capital team for the next phase of Piano’s growth. This marks the second time in Piano’s history that we’ve collaborated, and ORIX USA has been a fantastic partner, having supported us during the earlier stage of our growth journey as a smaller business. As Piano has grown significantly and expanded through multiple acquisitions, we knew that ORIX USA’s vision and strong strategic alignment would make them an ideal partner for this next chapter,” said Trevor Kaufman, Chief Executive Officer of Piano.

ORIX USA’s Growth Capital business previously partnered with Piano on a debt financing in 2019.

Since inception in 2001, ORIX USA’s Growth Capital business has provided $2.7 billion in funding to over 200 companies with customized equity and debt solutions.

ABOUT ORIX CORPORATION USA

Established in the U.S. in 1981, ORIX USA has grown organically and through acquisition into the investment and asset management firm we are today. With a specialization in private credit, real estate, and private equity solutions for middle-market focused borrowers and investors, we combine our robust balance sheet with funds from third-party investors, providing a strong alignment of interest. ORIX USA and its subsidiaries — ORIX Advisers, ORIX Capital Partners, Signal Peak Capital Management, Boston Financial, Lument, Real Estate Capital and NXT Capital— have approximately 1300 employees across the U.S. and have ~ $89 billion in assets*, which includes $39.4 billion in assets and commitments, in addition to $49.4 billion in servicing and administering assets, as of September 2024. Our parent company, ORIX Corporation, is a publicly owned international financial services company with operations in 30 countries and regions worldwide. ORIX Corporation is listed on the Tokyo Stock Exchange (8591) and New York Stock Exchange (IX). For more information, visit orix.com.

* As of September 30, 2024. Includes $49.4 billion in servicing and administering assets, in addition to $39.4 billion in funded assets and unfunded commitments across proprietary capital, third party capital and strategic partners investing in ORIX USA’s private credit, real estate and private equity businesses. Unfunded commitments are based on a contractual commitment or an expected commitment for an established program based on ORIX USA Group’s understanding.

ABOUT PIANO

Headquartered in Philadelphia, Piano is a leading end-to-end customer experience, analytics, and subscriber management SaaS platform for managing millions of individualized direct-to-consumer relationships. The company has strong roots in the media industry and is aggressively expanding within financial services, travel, retail, and other verticals.

​​​ABOUT UPDATA

Updata is a leading technology-focused growth equity firm in Washington, D.C., with more than $1.5 billion in committed capital. Led by an investment team averaging more than 25 years of technology experience, Updata invests in high-growth B2B software and software-driven businesses where the combination of capital and operating experience will help accelerate success.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250206460362/en/

pro-orix@prosek.com

Source: ORIX Corporation USA

FAQ

What is the significance of ORIX USA's new debt financing facility for Piano Software?

The debt financing facility supports Piano's growth and expansion, complementing their Series D equity fundraise led by Updata Partners, marking their second collaboration with ORIX USA.

How much funding has ORIX USA's Growth Capital business provided since 2001?

ORIX USA's Growth Capital business has provided $2.7 billion in funding to over 200 companies since 2001.

When did ORIX USA first partner with Piano Software?

ORIX USA first partnered with Piano Software in 2019 through an initial debt financing arrangement.

What has Piano Software achieved since its first partnership with ORIX USA in 2019?

Since 2019, Piano Software has grown significantly and expanded through multiple acquisitions, establishing itself as a global leader in digital experience management.