Irvine, California-based cybersecurity startup Cylance Inc., which applies artificial intelligence algorithms to predictively identify and stop malware and advanced threats, said it has completed the initial closing of a $100 million Series D funding round led by Blackstone (NYSE: BX) Tactical Opportunities and Insight Venture Partners, with participation from existing investors.
Founded in 2012 by Stuart McClure (president & CEO) and Ryan Permeh (chief scientist), Cylance has experienced record growth with product billings and customer growth of 1089 percent and 785 percent respectively, propelling the company to achieve its mission many years earlier than anticipated. In its Magic Quadrant for Endpoint Protection Platforms (EPP) earlier this year, Gartner called Cylance “the fastest growing EPP startup in the past ten years.”
The company had previously raised $77 million in three funding rounds from investors including DFJ Growth, Khosla Ventures and Fairhaven Capital Partners.
Cylance protects millions of endpoints and over 1,000 customers from never before seen attacks, preventing these customers from downtime, distraction and brand tarnishing. The product is uniquely able to identify and prevent zero-days and other forms of advanced and targeted attacks currently impacting businesses and government agencies worldwide, thereby eliminating the need for individual security teams to analyze and develop expertise in defending against each new cyberattack.
“We’re enthusiastic about supporting the terrific management team at Cylance, a company well-positioned for growth with a strong foundation in the cyber-security space,” said Viral Patel, managing director at Blackstone TacOps. “Cylance’s strong track record, including at Blackstone portfolio companies, deepens our conviction in the value that this platform can offer across sectors.”
“We have been tracking Cylance since they came to market, and are thrilled to be partnering with them,” said Mike Triplett, managing director at Insight Venture Partners. “Cylance’s team and technology have delivered on exactly what they’ve promised: elegant and effective prevention at the endpoint, in addition to impressive customers and growth.”
“We founded Cylance almost four years ago with a singular mission: protect those who cannot protect themselves, and empower those who can,” said Cylance’s McClure. “Our goal of reinventing endpoint security by using machine learning to think like a cyber hacker has been achieved and we now must ensure that it is put in the hands of security leaders inside enterprises, organizations, governments and small businesses as quickly as possible.”
Blackstone, headquartered in New York City, is one of the world’s leading investment firms with over $340 billion in assets under management. The firm’s investment vehicles focus on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis.
Insight Venture Partners, headquartered in New York City, is a leading global venture capital and private equity firm investing in high-growth technology and software companies that are driving transformative change in their industries. Founded in 1995, Insight has raised more than $13 billion and invested in more than 250 companies worldwide. Our mission is to find, fund and work successfully with visionary executives, providing them with practical, hands-on growth expertise to foster long-term success.