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๐Ÿ’ฐ Security, Funded #77 - Funding Is Down, Thoma Bravo's Still Got It, and Threat and Risk Prioritization

The Security, Funded Newsletter Issue #77 - The Business Of Global Cybersecurity Funding And M&A News From The Week Of January 16th, 2023.

Mike P
Mike P

Table of Contents

Hey there,

I hope you had a great weekend!

In this week's issue:

  • Funding Is Down
  • Thoma Bravo's Still Got It
  • Threat and Risk Prioritization

Thoma Bravo is at it again buying more cybersecurity companies, T-Mobile got hacked (yet again), the UK Royal Mail suffered a cyber attack, overall funding activity continues to be down, and more than 55K tech workers have been laid off this year (2023!) alone.

While overall funding volume is down, particularly in the US these past few weeks, Thoma Bravo's still got it with Yet Another Private Equity Leveraged Buyout (YAPELBโ„ข๏ธ) of a cybersecurity firm (details below).

The year of private equity has begun, and many believe that we will see even more strategic cybersecurity rollups and consolidations from the mountain of capital sitting behind the PE giants like Thoma Bravo.

Every time Thoma Bravo makes a cybersecurity acquisition I am inclined to repost this Tweet:

Video source for context: Living Dead Girl by Rob Zombie

Who here can help me get this retweeted by @thomabravo account on Twitter? ๐Ÿง

Also, shoutout to my friends over at RankedRight who got acquired this past week (details below)! These guys were very early supporters of Return On Security even before the Security, Funded newsletter started and that early support meant the world to me! I'm "absolutely chuffed" (as they say) that they made an exit. ๐Ÿ‘

It's rare these days in cybersecurity that you see a company solving an old problem in a unique way, but that is exactly what I saw with RankedRight. For the folks following along at home, I called out that platforms that help you have a more "threat-informed" and effort-to-value approach to your cybersecurity program would be important in 2023. I think this is just one example of many for this evolving space.

Onward to this week's issue.



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๐Ÿ“Š Industry News

  • Amazon S3 Encrypts New Objects By Default (more)
  • More than 55,000 tech workers have been laid off this year alone. (more)
  • UK Royal Mail Suffers a Cyber Attack (more)

๐Ÿ’ฐ Funding Summary

  • 7 companies raised $49.7M across 7 unique product categories
  • 8 companies were acquired or had a merger event across 7 unique product categories for $1.3B

๐Ÿงฉ Funding by Product Category

  • $17.0M for Fraud and Financial Crime Protection
  • $15.0M for Professional Services
  • $10.5M for Secure Access Service Edge (SASE)
  • $5.0M for Business Continuity / Disaster Recovery
  • $2.2M for Application Security Testing (AST)
  • An undisclosed amount for Secure Networking
  • An undisclosed amount for Secure Infrastructure

๐Ÿข Funding By Company

  • NsKnox, an Israel-based fraud protection platform for B2B transactions, raised a $17.0M Series B from Link Ventures. (more)
  • Blackpanda, a Singapore-based professional services firm focused on Digital Forensics and Incident Response (DFIR), raised a $15.0M Series A from Primavera Capital Group. (more)
  • Hypori, a United States-based secure remote access platform for Android mobile devices, raised a $10.5M Series B from Hale Capital. (more)
  • AccSenSe, an Israel-based disaster recovery and business continuity service for your identity and access management (IAM) platforms, raised a $5.0M Seed from Joule Ventures. (more)
  • Aikido Security, a Belgium-based application security testing platform, raised a $2.2M Pre-Seed. (more)
  • Nucleus, a United States-based secure composable infrastructure building blocks for microservices platform, raised an undisclosed Pre-Seed from Lombardstreet Ventures, Soma Capital, and Y Combinator. (more)
  • Zhongke Zhiyun, a China-based secure infrastructure and networking company, raised an undisclosed Seed from ZSVC.

๐ŸŒŽ Funding By Country

  • $22.0M for Israel ๐Ÿ‡ฎ๐Ÿ‡ฑ
  • $15.0M for Singapore ๐Ÿ‡ธ๐Ÿ‡ฌ
  • $10.5M for United States ๐Ÿ‡บ๐Ÿ‡ธ
  • $2.2M for Belgium ๐Ÿ‡ง๐Ÿ‡ช
  • An undisclosed amount for China ๐Ÿ‡จ๐Ÿ‡ณ

๐Ÿค Mergers & Acquisitions

  • Magnet Forensics, a Canada-based digital forensics and incident response (DFIR) platform, was acquired by Thoma Bravo for $1.3B. (more)
  • Gotham Security, a United States-based professional services company focused on threat intelligence and penetration testing, was acquired by Abacus Group for an undisclosed amount. (more)
  • GoVanguard, a United States-based managed security services provider (MSSP) and parent company of Gotham Security, was acquired by Abacus Group for an undisclosed amount. (more)
  • Immue, an Israel-based bot detection platform, was acquired by Forter for an undisclosed amount. (more)
  • Passwordless.dev, a United States-based passwordless authentication platform, was acquired by Bitwarden for an undisclosed amount. (more)
  • RankedRight, a United Kingdom-based threat and vulnerability prioritization platform, was acquired by Lansweeper for an undisclosed amount. (more)
  • Trum & Associates, a United States-based professional services firm focused on data loss prevention strategies, was acquired by ProArch for an undisclosed amount. (more)
  • Trustpage, a United States-based platform that lets companies share the maturity of their security programs, was acquired by Vanta for an undisclosed amount. (more)

Don't forget, if you've been following along for a while, I've spun off the jobs section that was previously in this newsletter and made it a separate newsletter that you can find here:


๐Ÿ“š Great Reads


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