Homegrown cyber security success story Darktrace will today announce the close of its series E funding round to the tune of $50m (£38m), raising its valuation to $1.65bn.
The round was led by Vitruvian Partners, with participation from existing investors KKR and 1011 Ventures. The funding will be used to fuel international expansion and increased hiring, which City A.M. understands will lead to a total headcount of at least 1,000 employees globally by the end of 2018.
Darktrace’s technology uses artificial intelligence (AI) to provide an autonomous and automatic response to potential cyber security threats.
The company has opened eight new offices in the last year, including in Mexico and Sao Paolo as part of its renewed focus on emerging markets. Co-founder Emily Orton told City A.M. the firm also plans to concentrate on growth in Asia, particularly within its teams in Japan and Taiwan.
In the UK, part of today’s funding will be used to fuel the expansion of its London office and research and development effort. A new, larger centre is being finalised in Cambridge, while development of its AI technology and process automation is ongoing.
The firm was last valued at $1.25bn in May when two investors sold shares in a secondary sale. Darktrace also continues to be loss-making as it scales, posting an operating loss of £24.4m in 2017.
Darktrace’s chief executive Nicole Eagan said the firm “continues to enjoy strong growth in new and existing geographies”, and that the increase in its valuation is a sign of industry confidence in its systems.