FOSTER CITY — Agari, a provider of cloud-based technology that uses predictive AI to stop advanced email attacks, has raised $40 million in growth capital from an investor group led by Goldman Sachs Growth Equity, with oversubscribed participation from existing Agari investors. Major Agari investors include Norwest Venture Partners, Scale Venture Partners, Battery Ventures, Greylock Partners, First Round Capital and Alloy Ventures. The new capital increases Agari’s total financing to $88 million.
Olga Kaplan, a Vice President in Goldman Sachs’ Merchant Banking Division, will join Agari’s board of directors in connection with the investment.
“The overwhelming majority of cyberattacks still originate via email, and are becoming increasingly sophisticated. Agari takes a fundamentally different approach by leveraging identity modeling and machine learning to prevent cyber attacks that legacy technologies simply do not stop,” said Olga Kaplan. “Agari has demonstrated its unique solution enables enterprises across all industries to significantly reduce the risk of a successful attack. We are excited to partner with Agari’s exceptional management team as the company continues to extend its market leadership and its impressive track record of innovation in email security.”
This injection of Series E growth capital will help Agari expand across Europe and Asia, adding to a strong base of customers including Aetna, Informatica, Neustar, Air Canada, the U.S. Postal Service, Facebook, Microsoft, Google, and dozens more. Agari will also strengthen its strategic worldwide channel partnership and technology relationship programs to accelerate growth and market share.
“As a marketplace, Upwork depends upon trusted relationships between businesses seeking talent and the independent professionals they work with,” said Teza Mukkavilli, Head of Information Security at Upwork. “Even one successful phishing attack can significantly impact that trust and Upwork’s ability to provide the safety our customers deserve. Agari’s predictive artificial intelligence enables us to protect our marketplace from all forms of identity-based email attacks so customers can focus on getting more work done.”
The capital will also drive deeper investment in Agari Identity Intelligence—the underlying AI supporting all Agari products, with 300 million model updates per day enabled through data from trillions of emails and billions of inboxes—and also in Agari’s pioneering domain authentication technology based on the DMARC standard.
“Whether it’s phishing of customers or targeting executives with social engineering, email is the communications channel for the top cybersecurity threats impacting customers, employees and suppliers,” said Richard Szymborski, Manager of IT Security and Risk Management, Air Canada. “By protecting the email channel with Agari, we are improving our security posture enormously, protecting our brand and helping our business build trusted relationships with our customers.”
“Safeguarding against sophisticated email deception attacks and account takeover has become a boardroom-level mandate, with business email compromise costing companies billions of dollars each year,” said Ravi Khatod, CEO, Agari. “The sophistication of attacks and rapid migration to cloud-based email has disrupted the multi-billion dollar email security market and Agari is the only cloud-native solution proven to stop these attacks at enterprise scale. This investment led by Goldman Sachs will fund a new, critical growth phase for Agari, as we deepen our product, data science, and go-to-market investments to deliver success to every Agari customer and partner globally.”