Online storage startup Box just raised $150 million from private-equity firm TPG, reports the Wall Street Journal. The investment firm was reportedly in talks with Box in June about potential funding.

The funding comes ahead of the company’s initial public offering, which has already been pushed back. Box was slated for its IPO in April, but decided to hold off. This round of funding is much needed — the company spends a lot of money. According to its S-1 filing, it had a net loss of $168 million from the fiscal year that ended on January 31.

Box is a serious competitor to Dropbox in the race to become the dominant cloud storage provider for enterprises. Dropbox is also planning to go public and has been raising a lot of capital, making strategic hires, and securing a giant line of credit prior to filing.

But Box may still beat Dropbox to the punch. The company is set to go public, sometime after Labor Day according to the Wall Street Journal when the market is likely to pick up. During its last funding round in November, Box netted $100 million at a $2 billion valuation.

TPG’s growth-equity fund TPG Growth made the investment and will likely take a seat on Box’s board.


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