After having experienced 104% growth in annual recurring revenue in 2018 over 2017, Vectra has today announced that it closed a $100 million funding round led by TCV, bringing the company’s total funding to date to more than $200 million, according to a June 10 press release.
The triple digit Series E funding, in which existing investors also participated, comes only one year after Vectra raised $36 million in Series D funding. The financing is expected to drive the company's growth and market expansion in what is estimated at a $12.7 billion cloud security market, according to Forrester Research.
While critical security gaps leave organizations vulnerable, consumers continue to use online services for everything from entertainment to banking. Securing consumer data and preserving their privacy is critical to maintaining trust and preserving an organization’s reputation, a Vectra spokesperson said. The business impact of lost revenue and shareholder value as a result of consumer data breaches in the cloud are significant and are therefore making cloud security a board level priority.
“TCV has an extensive track record of partnering with enterprise security companies, including Rapid7 and Splunk, from growth stage to public,” said Tim McAdam, general partner at TCV and member of the Vectra board of directors. “In our research on the category, it became clear to us that Vectra was rapidly gaining momentum with customers by rethinking the way enterprises view both network and cloud security. The Vectra Cognito platform is poised to become requisite in the security infrastructure of multinational enterprises and midsize businesses alike.”
“The cloud has inherent security blind spots, making it imperative to eliminate cyber-risks as enterprises move their business to the cloud,” said Hitesh Sheth, president and chief executive officer at Vectra. “The Cognito platform enables them to stop hidden cyber-attacks in the cloud. We look forward to partnering with TCV and our existing investors as we continue our rapid growth.”