Data storage security company Cyera is finalizing a round of at least $300 million at a valuation of $12 billion led by Evolution Equity Partners, according to four people familiar with the deal.
Calcalist first reported the funding deal, but TechCrunch’s sources added new details about the company and its financials.
Cyera’s annual recurring revenue (ARR) has exceeded $150 million, three people familiar with the matter told TechCrunch, but it remains far from profitable. The deal values Cyera at 80x ARR, which is even higher than the multiple investors are assigning to many fast-growing AI startups.
The company is spending money faster than it’s making it, people told TechCrunch. Some of these costs go toward hiring sales staff. Cyera has added 500 jobs so far this year, according to PitchBook.
A Cyera spokesperson said: “The numbers quoted are materially factually inaccurate.” Evolution Equity Partners did not respond to a request for comment.
The new round comes just five months after Cyera announced it had raised a $400 million Series F at a $9 billion valuation led by Blackstone, with participation from existing investors including Accel, Coatue, Lightspeed, Redpoint, Sapphire, Sequoia, and Cyberstarts. The upcoming round will bring Cyera’s total capital acquisition to at least $2 billion.
Founded in 2021, Cyera has benefited as companies turn to its platform to protect data from attackers weaponizing AI. When announcing Series F, the company claimed that its customers represented one-fifth of Fortune 500 companies and that its revenue would more than triple by 2025.
In recent months, the company has used the capital to finance operating losses and acquire other cybersecurity startups, including Index Ventures-backed Ryft and less than a year-old Genie Security.
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