NEW YORK, June 13, 2019 /PRNewswire/ -- SecurityScorecard, the leader in security ratings, announced today the company has completed a $50 million Series D financing round led by Riverwood Capital, bringing the company's total funding to $110 million, to continue aggressively expanding its product suite and platform. Existing SecurityScorecard investors such as Evolution Equity, Intel Capital, Two Sigma, AXA Ventures, Accomplice, among others also participated in the round, which will accelerate SecurityScorecard's explosive global expansion to help the company meet the spiking demand for its comprehensive security rating platform.
As the only security ratings provider to have scored over 1 million companies, SecurityScorecard provides the industry's broadest range of rated companies, offering its customer community an incredible amount of historical data to contextualize cybersecurity risk. Today, SecurityScorecard's platform is the "gold standard" for security ratings used across 175 countries for cybersecurity insurance underwriting, M&A due diligence, reputation management and vendor risk management.
"Trust and transparency are must-haves to be the industry standard for measuring security risk today. SecurityScorecard is the only security ratings provider with complete transparency and visibility into the ratings methodology," said Aleksandr Yampolskiy, Co-founder and CEO of SecurityScorecard. "With transparency, unique data insights, and unmatched scoring speed and coverage, we enable any company in the world to instantly claim their scorecard, act to improve their cybersecurity posture, and invite others to do the same. The future is bright, and we look forward to spreading SecurityScorecard as the blueprint to a safer world."
The funding will further advance SecurityScorecard's corporate growth and fast-yielding financial performance. Over the course of 2018, SecurityScorecard:
- Doubled customers
- Doubled revenue for the fourth year in a row; >100% YoY ARR growth
- ~1000 enterprise customers actively monitoring over 150,000 companies on the SecurityScorecard platform
- Rapidly expanded operations in EMEA and APAC with many competitive displacements
- 14x increase in API endpoints
- Exponential increase in partner integrations, including Splunk, ServiceNow, and RSA Archer
"SecurityScorecard's growth, team, and technology leadership in providing a standard for cybersecurity ratings and risk management is impressive," said Francisco Alvarez Demalde, Co-Founder and Managing Partner of Riverwood Capital. "We are very enthusiastic with the long term potential of the company given the increasing importance of understanding, measuring and monitoring cybersecurity risk, and the company's ability to build such a unique technology platform and offering for its customers." According to Gartner, "By 2022, cybersecurity ratings will become as important as credit ratings when assessing the risk of existing and new business relationships."*
Riverwood Capital specializes in partnering with proven high-growth tech-enabled businesses, helping them scale and become world-class organizations. Joe De Pinho, Vice President of Riverwood Capital, will join the Board of Directors, and added, "We have been impressed by SecurityScorecard's excellent competitive win rate as seen by the increasing number of Fortune 500 companies standardizing on the SecurityScorecard platform for self-assessments, board reporting and third-party risk management."
*Gartner, Innovation Insight for Security Rating Services, Sam Olyaei et al., 27 July 2018.
Headquartered in the heart of New York City, SecurityScorecard's vision is to create a new language for measuring and communicating security risk. The company was founded in late 2013 by Dr. Aleksandr Yampolskiy and Sam Kassoumeh, two former cybersecurity practitioners who had served, respectively, as Chief Information Security Officer and Head of Security and Compliance. With cloud solutions becoming an increasingly integral part of the security technology stack Yampolskiy and Kassoumeh recognized the need to address third- and fourth-party risk as well as better understand the security capabilities of their business partners. Since its founding, the company has grown dramatically and now counts hundreds of leading brands as customers. SecurityScorecard is backed by leading venture capital investors including Riverwood Capital, Sequoia Capital, GV, NGP Capital, Evolution Equity Partners, Boldstart Ventures, and AXA Venture Partners, among others. For more information, visit securityscorecard.com.
About Riverwood Capital
Riverwood Capital is a private equity firm that invests in high-growth, middle-market companies in the technology, technology-enabled, and other related industries. Riverwood offers a unique combination of operational, strategic, technology, and financial insight to portfolio companies that typically need growth capital and expertise to scale on globally. The firm invests in established businesses with dynamic management teams, a proven technology and business model, and the proper fit in terms of culture and values. Riverwood invests globally and leads both minority and control deals. The firm has offices in Menlo Park, CA; New York, NY; and Sao Paulo, Brazil. Please visit www.riverwoodcapital.com.