(Reuters) – Cybersecurity startup Axonius has raised $100 million in a private funding round led by New York-based growth equity firm Stripes at a valuation of $1.2 billion, the company said on Sunday.
The latest funding came less than a year after Axonius’ last raise and brought Axonius’ total funding to $195 million, signaling strong investor appetite in cybersecurity firms that have seen strong demand during the global pandemic. The company plans to announce the raise on Monday.
New York-based Axonius develops an end-to-end device management platform to help its enterprise customers track computers and systems that connect to their networks.
The four-year-old firm saw explosive growth last year as companies around the world increased cybersecurity spending in an adaption to a remote working environment during the COVID-19 outbreak.
Axonius said it booked more than $10 million in annual recurring revenue last year, triple its 2019 revenue, counting Schneider Electric, Landmark Health, and the U.S. federal government as its clients.
“The pandemic has from a business perspective definitely increased the priority and the urgency of organizations with cybersecurity,” chief executive Dean Sysman said in an interview. “The funding also shows we’re financially and strategically positioned to be independent for the long haul.”
The proceeds will be used for building out new features on the platform, looking for acquisition targets and expanding into new geographies such as Asian markets, said Sysman.
Other backers of Axonius include Bessemer Venture Partners, Lightspeed Venture Partners and Vertex Ventures Israel.
Rapid adoption of remote working, coupled with frequent cyberattacks and transition to the cloud, has fueled investors’ interest in cybersecurity firms. Funding in the cybersecurity industry reached an all-time high of $11.4 billion last year, a nearly 50% increase from 2018, according to CB Insights.
(This story has been refiled to fix typo in paragraph 5)
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