Israeli industrial cybersecurity company SCADAfence announced on Monday that it has secured $12 million in funding, led by existing investor JVP, with participation from strategic investor Rapid7 and other existing shareholders.
The company, which provides cyber solutions for Operational Technology (OT) and Internet of Things (IoT) environments, said it had tripled both its revenue and customer base over the last year and is aiming to use the new funding to further accelerate its expanding global customer base across a diverse set of industries – including manufacturing, water treatment, critical infrastructure, oil and gas, pharmaceuticals, chemicals, and building management systems (BMS). Some of the company’s existing customers include Honda, Murata, Vestel, Mitsui Fudosan, Taro Pharmaceuticals, and numerous other Fortune 500 companies in the U.S.
“This investment comes at a very opportune time for our industry as the demand for OT and IoT security is at an all-time high. SCADAfence is an organization in hyper-growth mode,” said Elad Ben-Meir, the company’s CEO. “SCADAfence has experienced exponential growth in 2020, despite the pandemic. We managed to triple our revenues and the number of our customers. We also won 11 industry awards - more than any other company in the industrial cybersecurity space - including recognition from Gartner as a Cool Vendor and recognition by ISG as an industry leader. Moreover, Rapid7, a global cyber security leader has identified SCADAfence as the best-of-breed OT & IoT security solution and we believe our strategic partnership will create an industry-leading value proposition.”
SCADAfence also announced that it has recruited several executives from leading cybersecurity organizations to grow its executive teams in sales engineering and revenue growth, including Gordon Boyce, the former CEO of Forescout, who joins the executive team as CRO. The company is looking to add at least 20 additional new members to its global team in the near future.
"Attacks on Operation Technology (OT) networks endanger countries and civilians alike, as they pose the soft underbelly for all critical infrastructure in the fields of energy, water supply, transportation and all aspects of our daily operations and basic necessities," said Shai Schiller, JVP General Partner. "The company plans to significantly expand its U.S. operations following the entry of Rapid7 as a strategic investor and partner. Rapid7's partnership exposes SCADAfence to a substantial salesforce, dozens of channels and thousands of strategic customers. Aside from the go to market expansion, the company is also expanding its product portfolio offering to cater for the ever-changing threat landscape and in essence offering the broadest set of security products in its competitive landscape”.
“Cyber risks to industrial control systems are rapidly increasing, as is the market demand for holistic, risk-based solutions that provide visibility across IT and OT environments,” added Conan Reidy, Senior Vice President of Corporate Development and Technology Alliances at Rapid7. “Our strategic investment in SCADAfence further solidifies our commitment to this growing market and we look forward to working with the SCADAfence team to bring OT & IoT cybersecurity capabilities to a broader customer base.”