Wellington-led funding boosts Vanta's valuation by 69% in a year
FILE PHOTO: The logo of automated security and compliance platform Vanta is displayed at the Collision conference in Toronto, Ontario, Canada June 23, 2022. Picture taken June 23, 2022. REUTERS/Chris Helgren/File photo
Online security and compliance management platform Vanta was valued at $4.15 billion in its latest fundraising round, up from $2.45 billion just a year ago, as investor appeal of risk-mitigating software rises in tandem with cyber attacks.
The $150 million Series-D round, led by new investor Wellington Management, brings Vanta's total external funding to $504 million, Vanta said on Wednesday.
Businesses' increasing reliance on cloud and artificial intelligence technologies has also amplified their exposure to cyber attacks. As they expand across borders, they also have to deal with compliance requirements that vary greatly by nations.
In recent months, hacker targets have included retailer Marks & Spencer, tech behemoth Microsoft and insurer Aflac.
Proceeds from the round will be used to expand Vanta's AI offerings and customer base, including engagements with the U.S. government, Vanta co-founder and CEO Christina Cacioppo told Reuters.
Venture financing arms of major corporations also participated in the round, indicating industry validation. These included Goldman Sachs Alternatives, J.P. Morgan, CrowdStrike Ventures and Atlassian Ventures - whose parent Atlassian is a Vanta customer as well.
Vanta's previous financing round in July 2024, led by Sequoia Capital, had valued it at $2.45 billion, implying a 69 per cent rise in valuation in a year.
The AI boom has helped U.S. startups attract investment so far this year, even as venture capital firms struggled to raise money, according to a Pitchbook report.
Cacioppo likened AI's impact on productivity to centaur chess, in which a combination of computer and human intuition can enhance player experience.
Founded in 2018, Vanta employs more than 1,000 people across its offices in Dublin, New York, San Francisco, Sydney, and London - which it opened late last year.
Vanta's newly launched AI agent can help teams finish security reviews 81 per cent faster, the company said.
