Panaseer, which takes a data science approach to cybersecurity, has raised $26.5 million in a Series B fund led by AllegisCyber Capital. Existing investors, including new investors National Grid Partners, including Evolution Equity Partners, Notion Capital, AlbionVC, Cisco Investments and Paladin Capital Group, took part.
Panaseer has raised $43 million so far. The amount of Panaseer’s special sauce and sales pitch is what it calls “continuous control monitoring” (CCM). In simple English which means to test resources, to connect a lot of data from all available security tools to control the system, you name it. As a result, the company says it can detect exposure to zero-day and other exposures quickly or to fire or SolarWinds vulnerabilities. Jonathan Gill, CEO of Panaseer, said: “Most initiatives have the tools and expertise to prevent theoretical violations. However, one of the main reasons for violations is that there is no monitoring and response technology in failed controls. CCM consistently validates and measures the level of protection and provides notification of failure. Ultimately CCM enables these failures to be corrected before they become security incidents.”
And why they chose these investors: “I think we picked them and they picked us, we were together on that journey. It takes a few months to get the best combination. Dollars are the same for investors but I think they are no it can help us improve as an organization and grow like existing investors. They access and reach certain parts of our market and help us improve as an organization.” Talking to me on a phone, he added:
“Investment allows us to scale our company to meet that demand with a team of people to implement our platform and help them achieve unprecedented value and develop the product, adding more and more capabilities to that technology to support maximum use. So these are the two main directions, and there is a market where we think of a few thousand companies of a certain size, who are regulated or have adequate resources to protect them, and there is a complexity that makes the problem difficult to solve on its own. And our advisory board and the clients I’ve talked to think there are probably only 20 companies in the world that can solve this problem. And everyone else is stuck with the fact that solving it is really a difficult data science problem. So we want to scale it and take it to more agencies.”