VMS provider VNDLY receives strategic investment from tech partner Okta Ventures

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VMS provider VNDLY today announced it received an investment earlier this year from Okta Ventures, a provider of single sign-on and provisioning technology and the investment arm of Okta Inc. 

The Okta investment is a strategic investment, not a purchase of any portion of VNDLY. The privately held company did not disclose the exact amount but stated it is a minor equity investment and not a majority equity stake. Okta Ventures targets investments from $200,000 to $1 million, according to its website.

In addition to the financial partnership, Okta is a technology partner with VNDLY, which is providing its clients secure single sign-on and provisioning capabilities via the Okta Identity Cloud. 

For VNDLY, the investment supports continued development of its cloud-native vendor management technology platform that integrates with Okta’s sign-on and provisioning technology.

“What excites me most about this partnership is that it started with a pain point experienced by our mutual customers,” said Shashank Saxena, VNDLY CEO and co-founder. “Our clients have been looking for ways to extend provisioning into their external workforces, and this partnership increases our ability to provide a modern technology stack that supports each company’s digital transformation.”

Okta Ventures was launched in 2019 to fund companies focused on modern identity-architecture design and adoption, while also having the potential to add to the existing Okta ecosystem. VNDLY launched in 2017.

VNDLY in May announced it raised $8.5 million in a series B-1 funding round led by Madrona Venture Group, bringing its external funding at that time to $57.5 million.