Market Insights

B2B Wins: Friday Dealbook for 11/15/2019

November 15, 2019

This week’s deals prove that privacy and security enterprise solutions are still in high demand. 1Password’s expansion from a consumer-facing platform to an enterprise service provider was so successful that the company raised a whopping $200 million to keep up with demand. Some of these solutions are bringing AI to the table, as evidenced by Silent Eight, an AI-powered search engine that raised $6.2 million, and AI-powered behavioral biometrics provider Ezmcom, which was acquired by FICO for an undisclosed sum. We expect to see more of these large funding rounds and acquisitions as companies increasingly embrace digital transformation.

 

The Top Deals Covered by OWI this Week

 

1Password \ 1password.com \ Founded in 2005

Developer of a secure password manager for Mac, Windows, iOS, and Android that enables the users to stay secure and safe while using the web.The company is based in Toronto and helps users create, store, and auto-fill unique passwords. 1Password evolved from a consumer-focused platform to a B2B model in 2016, with enterprise customers including IBM, Slack, Dropbox, and Gitlab.

The company raised $200 million of Series A venture funding in a deal led by Accel on November 14, 2019. Slack Fund, WndrCo, and Atlassian founders Scott Farquhar and Mike Cannon-Brookes also participated in the round. The funds will be used to scale the company’s B2B market penetration.

 

SheerID \ sheerid.com \ Founded in 2011

Provider of a verification technology platform designed to make eligibility verification instant, easy and secure for all enterprises. The company’s platform transforms existing, protected, private data into an eligibility verification service, enabling clients to deliver a seamless customer experience that reduces churn and fuels loyalty to drive revenue growth.

The company received $64 million of development capital from CVC Capital Partners on November 13, 2019. Existing investors Centana Growth Partners and Voyager Capital also participated in the round. The company plans to use the cash to invest in marketing, sales, and engineering.

 

Silent Eight \ silenteight.com \ Founded in 2013

Developer of an artificial intelligence powered search engine. The company’s search engine connects data from different sources and systems such as email accounts, corporate intranet, personal storage devices and cloud services, making it faster and easier for end users to look for information, enabling financial institutions to manage their compliance and risk obligations and prevent the occurrence of financial crime.

The company received $6.2 million of Series A funding led by SC Ventures, Standard Chartered’s innovation, fintech, and ventures unit, on November 13, 2019. OTB Ventures and Wavemaker Partners also participated in the round. The funds will be used to hire additional employees to support its growing customer base.

 

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Investor Highlight

 

WndrCo \ wndrco.com \ Founded in 2016

Description of Investor

Founded in 2016, Wndrco is a venture capital firm based in Beverly Hills, California. The firm invests in, acquires, develops, and operates consumer technology businesses.

Active Portfolio – 30

Investments (TTM) – 11

Med. Round Amount – $15.00M 

Med. Valuation – $55.00M

 

Deal History

In the past year, WndrCo has invested in the following 4 identity companies:

1Password

Aura Company

Step

Tracklib

 

*Source: PitchBook Data Inc. with proprietary keyword searches set by OWI Analysts