Cynet, a Israeli-based cybersecurity company, recently announced that it has successfully closed its Series C funding round with $40M, and is now valued at $400M.
This new investment, led by Softbank, will help the company accelerate its mission to help organizations protect themselves, their users and their applications against cyber threats.
Let’s look at the investment and what it means for Cynet’s future.
Overview of Cynet
Cynet is a leading innovator in cybersecurity technology, delivering products and services to organizations worldwide. Founded in 2016, Cynet has garnered the attention of pioneering investors, allowing it to build a strong portfolio of products and customers. Cynet recently announced that it had completed its Series C funding round, securing an additional $40 million in capital to expand its reach further.
Cynet’s mission is to provide customers comprehensive protection against advanced cyber threats. The company offers a complete suite of security solutions for businesses of all sizes – from small startups to large enterprises – such as endpoint protection, network protection, application control and secure access privileges.
Cynet also works closely with enterprise customers to understand their unique needs and develop tailored security solutions for their business environment. The company aims to provide an end-to-end solution that simplifies cyber threat management while reducing complexity and cost. By leveraging its deep understanding of modern security threats and the latest algorithms, Cynet ensures the highest standard of cybersecurity for businesses across industries around the world.
Overview of Series C Funding
Series C financing is a form of venture capital business owners can obtain to expand their company. It is the third funding stage, after seed/angel financing rounds and Series A and B rounds, and generally denotes a business approaching maturity.
Series C funding occurs when sizable investors such as individual wealthy individuals or venture capital firms invest in a company with the expectation of receiving continued returns. These investments typically come with tougher conditions than earlier funding rounds, such as more strict terms for management performance, liquidity preferences, or dividend shares. Series C funds are typically used to develop products and services, international expansions, marketing efforts, or strategic acquisitions.
On April 28th 2020 Cynet announced having raised $40M in its Series C round of financing led by Norwest Venture Partners (NVP) with participation from existing investors Shlomo Kramer (Co-Founder & CEO at Imperva), Gigi Levy (Founder & Managing Partner at NFX Capital), Blumberg Capital, Marker LLC and Cyberstarts Seed Fund. This comes after their previous raise of $30M in July 2019 led by Shlomo Kramer from Imperva, who also joined the board.
The funding will enable Cynet to unleash its full potential by investing in partner programs; product development; R&D; sales/marketing; customer experience excellence; and to deploy further resources for real-time threat hunting capabilities aligned with leading intelligence sources.
Cynet recently announced a whopping $40M in Series C funding led by Dell Technologies Capital. This new round of funding brings the total capital raised by Cynet to $77M.
Cynet plans to accelerate product innovation and global expansion with this new investment. First, let’s take a closer look at the strategic investment details.
Investors Involved in Series C Funding
Cynet Systems is proud to announce its Series C funding round, led by General Atlantic – an American global growth equity firm. The recent $40 million raise will fuel continued innovation, global expansion, and provide further resources for integrating Cynet’s market-leading security platform into the most crucial networks of organizations around the globe.
The round was supported by existing investors Magma Venture Partners and Carmel Ventures participated in the round along with Pitango Venture Capital. The company has raised approximately $100 million over four capital raising rounds since its inception in 2017.
General Atlantic’s commitment to helping companies scale their business within a wide range of domains, including cybersecurity and artificial intelligence as part of its broader growth strategy,
makes it an ideal strategic partner for Cynet. With investments also coming from long-time partners Magma Venture Partners and Carmel Ventures proves that Cynet’s successful track record speaks for itself – with sustained corporate growth in 2020 after raising a Series B in 2019.
This Series C Funding builds upon several milestones that the company achieved in 2020 such as the launch of Advanced Detection & Response (ADR), an innovative automated response technology that utilizes machine learning and artificial intelligence to actively defend against unknown threats; expanded hybrid security cloud capabilities; integration of GlobalProtect Cloud Service (GPCS); expanded Machine Learning-enabled analytics platform; Allowing customers complete visibility across all endpoints with Agentless endpoint detection & response (EDR); and more recently integrating network detection response capabilities into Cynet’s platform.
Breakdown of Investment Amounts
Cynet recently announced that it has closed its Series C investment round for $40 million, led by Claridge Israel.
This new funding brings the total capital raised by Cynet to $75 million, which will be used to expand the company’s reach in the cyber security landscape, accelerate product development, and hire more talent. Other investors participating in this round include Check Point Software Technologies, 83 North Ventures and Greenspring Associates.
An estimated breakdown of the investment amounts shows that Claridge Israel invested $20 million followed by Check Point Software Technologies and 83 North Ventures investing $10 million each. In contrast, Greenspring Associates invested approximately U.S.$5 million. These amounts are subject to change as many other investors have contributed small amounts to the funding round but could not be disclosed due to marketing regulations.
The funds raised will be mainly used towards enhancing existing products and developing various new ones like ML-based Cyber Attack Protection solution, RCA automation system, Incident Response Orchestration solution and more features related to Cloud Security Posture Management (CSPM). The remaining funds will be directed towards hiring talent across all departments in Cynet’s global offices located in North America, EMEA and APAC regions.
Impact of the Investment
Cynet, a provider of next-generation cyber protection, has recently announced the closing of its $40 million series C funding. This investment will fuel the company’s expansion and bolster its capabilities in the field of cyber security.
This funding will strongly impact Cynet’s product portfolio and customer base, as they aim to deliver more effective protection against the ever-evolving cyber security threats.
Let’s take a look at how this investment will shape the way Cynet will be able to deliver its products and services.
Cynet’s Plans for the Investment
Cynet, a leader in AI-powered cyber security, announced that it has closed its Series C funding round of $40 million, bringing its total funding to over $85 million. The round was led by JVP and included YL Ventures, Oryzn Capital and seed investor M12 (formerly Microsoft Ventures).
The new capital will accelerate product innovation and develop solutions that stem beyond the existing platform capabilities. In addition, Cynet aims to expand the automation of security operations, empowering enterprises to detect and immediately respond to threats with less complexity.
Cynet also plans on using the funding for further geographic expansion efforts in Europe and Asia-Pacific regions. The company currently offers services in North America, Israel and South Korea. By expanding operations into other countries, Cynet seeks to establish itself as an international leader in AI-powered cyber security and drive digital transformation initiatives within organizations worldwide.
Expected Growth for Cynet
The raise of $40 million in Series C funding for Cynet can bring greater visibility and growth opportunities to the business. According to its CEO Eyal Gruner, Cynet plans to use these funds to accelerate product innovation, strengthen its security offerings and expand into new markets. In addition, the injection of capital enables the company to invest in R&D, continue growing its customer base and add jobs to meet the needs of a global customer base.
Through this investment, Cynet looks forward to propelling corporate cyber defense and bringing better visibility and security processes across countries. This will enable them to gain deeper understanding of risk by providing continuous visibility over systems, detect dynamic threat patterns, react quickly and apply effective responses across all encounters with proliferated threats. The funding also aids in facilitating access into new global markets, especially in Africa and Asia Pacific.
The impact of this capital injection is expected to contribute significantly towards Cynet’s business model that combines cross-platform connected control capabilities with enhanced detection automation for enterprises spanning multiple infrastructures, countries or sectors. Furthermore, as part of the offering set forth by Cynet’s cyber-defense platform, customers will be able to take advantage from automated behavior-based detections integrated with one-click response options they can take with just a single click effecting mitigation immediately following any serious incident such as ransomware attack acceleration or data leakage thus significantly reducing risk exposure share holders much would have otherwise caused loss or reputability damage anyway have remained undetected had this investment not been taken place.