Clio, a Canadian legal artificial intelligence firm, announced on Monday that it has raised $500 million in fresh funding led by New Enterprise Associates (NEA), boosting its valuation to $5 billion.
The Vancouver-based company, founded in 2008 by Jack Newton and Rian Gauvreau, develops AI-powered tools that help law firms and legal departments manage cases, automate workflows, conduct research, and streamline operations. Clio’s platform is currently used by legal professionals in over 130 countries.
The funding round also saw participation from existing backers TCV, Goldman Sachs Asset Management, Sixth Street Growth, and JMI Equity, highlighting continued investor confidence in the booming market for AI productivity tools.
In addition to the equity raise, Clio secured a $350 million debt facility led by Blackstone and Blue Owl Capital, which will help fund AI product development and future strategic acquisitions.
The new valuation marks a significant leap from last year’s $3 billion figure, underscoring the surging demand for AI solutions in professional services, as firms increasingly turn to automation to improve efficiency and reduce costs.
Venture capital interest in legal tech and generative AI has soared this year, as companies across industries race to integrate intelligent systems capable of handling administrative, analytical, and compliance tasks once performed by human professionals.