Shape Security, an online fraud prevention platform, has secured USD51 million in a funding round led by C5 Capital, a specialist venture capital firm focused on cyber security, data analytics and cloud computing.
Investing alongside C5 are Silicon Valley and corporate investors Kleiner Perkins, HPE Growth, Norwest Ventures Partners, Focus Ventures, JetBlue Technology Ventures, Top Tier Capital Partners, and EPIC Ventures.
The new capital brings the total amount raised by Shape, founded in 2011, to USD173 million with a pre-money valuation on the business of USD1 billion.
Shape uses AI-powered automation and fraud detection capability to distinguish between human and automated traffic. Currently, it protects more than half of all online banking in North America and is looking to expand into the international market. C5 Capital’s investment comes as Shape focuses on international expansion and C5 will bring its network and experience in helping companies develop internationally to support Shape’s growth beyond the North American market and particularly in Europe where cyber fraud awareness remains lower than in the US.
Commenting on the investment Andre Pienaar, Managing Partner C5 Capital, says: “We are delighted to have led this funding round and excited by our investment in Shape which has established itself as the leading online fraud prevention platform. C5 will use its considerable experience in helping companies expand globally to support Shape as it targets international growth beyond its still fast-growing North American market.”
Commenting on the investment Derek Smith, co-founder and CEO of Shape Security, says: “This investment will help us scale our international operations and fuel our AI development. Our new and returning investors, coupled with our continued track record of growth, underscore our vision to protect all enterprises from fraudulent Internet transactions.”
