ID Experts, a provider of software and services for cyber breach and identity fraud protection, has raised a USD27.5 million round of equity funding.
Healthcare private equity firm Peloton Equity and cybersecurity venture capital firm Trident Capital Cybersecurity, along with existing investors BlueCross BlueShield Venture Partners and the Sandbox Advantage Fund, participated in the round.
ID Experts will use the funding, combined with cash provided from operations, to repurchase shares from select existing shareholders and to continue to innovate its suite of SaaS-based technologies that address the complex cybersecurity and breach risks faced by healthcare, retail, education, and government organisations, their customers and employees, as well as individual consumers.
Ted Lundberg, partner, and Justin Yang, principal, from Peloton Equity and Sean Cunningham, managing director at Trident Capital Cybersecurity, will join the ID Experts board of directors.
"This investment validates the demand for technology and services that mitigates the risk of cyber breaches and resulting identity fraud," says Bob Gregg, chief executive of ID Experts. "Our new group of investors is extremely well positioned to support ID Experts continued growth."
The increase in cyber threats is resulting in a surge in data breaches, exposing millions of individuals and their sensitive information. Ransomware is quickly becoming the latest cyber-attack epidemic, with hospitals and health systems from California to Maryland hit with attacks this year.
"The healthcare industry is currently the most lucrative target for cyber attacks as evidenced by the recent proliferation of healthcare entity breaches and hospital focused ransomware attacks," says Lundberg. "We are excited to partner with ID Experts to help such organisations lower their cyber risks, handle an incident if it occurs, and mitigate the damages."
"Cyber threats are a global problem, placing enormous challenges on companies that hold sensitive information," says Cunningham. "The demand for solutions that ID Experts is developing will continue to increase. We're anticipating an extraordinary collaboration with the company and our fellow investors."
