Israeli behavioral biometrics co BioCatch raises $145m

BioCatch Photo: PR
BioCatch Photo: PR

The company's technology protects some of the world’s largest financial institutions and their clients’ assets from fraud.

Israeli behavioral biometrics company BioCatch today announced that it has completed a $145 million Series C financing round led by Bain Capital Tech Opportunities. Also participating in the round are new investors including Industry Ventures as well as existing shareholders American Express Ventures, CreditEase, Maverick Ventures and OurCrowd. The investment will be used to speed up BioCatch’s growth, expand product offerings and its client base into new verticals.

Sources close to the company told "Globes" that the company's founders and early-stage investors sold shares in the round at a high profit.

BioCatch was founded in 2011 by Avi Turgeman, who serves as CTO and vice president for business development, and the late Benny Rosenbaum. They were later joined by Uri Rivner, who is the company's Chief Cyber Officer. The company's chairman and CEO is Howard Edelstein, a fintech pioneer, who has been advising BioCatch since 2015 on behalf of OurCrowd. The company has offices in Tel Aviv, London, and the US.  Gadi Mazor, one of the founders of OurCrowd, is Chief Operating Office r and General Manager, Israel. 

BioCatch’s behavioral biometrics technology protects some of the world’s largest financial institutions, and their clients’ assets from fraud and other types of criminal activity, including sophisticated social engineering voice scams. Unlike traditional security methods such as usernames and passwords, which are easily compromised, behavioral biometrics monitors user behavior throughout each online session, providing continuous protection and ensuring a secure and seamless online experience. The company grew annual recurring revenues by 150% in 2019 and now counts more than 40 of the world’s largest global financial institutions as customers.

"BioCatch’s growth in annual recurring revenue and client base speaks directly to the growing demand for our service and the increasing number of use cases we are able to support," Edelstein said. "The current environment has spawned a large increase in bad actors seeking to take advantage of distracted individuals working from home or dispersed companies whose technologists are scattered in remote locations. In such times, technologies like behavioral biometrics become more important than ever. We are also excited to partner with a leading technology investor like Bain Capital, as well as grateful for the continued confidence of our existing investors, who know the company better than anyone. We look forward to working together with this outstanding group of investors to further scale the company."

BioCatch signed its first eCommerce client in 2019 and is planning to launch in the public sector in 2020. Use cases have also expanded as the company’s client base and data set have enabled new solutions across the digital lifecycle. BioCatch is addressing some of the most pressing challenges today, including detecting the use of stolen or synthetic identities at the onboarding stage, recognizing account takeovers and flagging increasingly sophisticated social engineering scams.

Published by Globes, Israel business news - www.globes-online.com - on April 15, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

BioCatch Photo: PR
BioCatch Photo: PR
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