San Francisco-based cybersecurity company Coalition announced Tuesday that it raised $205 million in fresh financing. The Series E round sent the unicorn’s valuation skyrocketing to more than $3.5 billion. Following its Series D back in March, Coalition had just cemented its status as a unicorn with a valuation of $1.75 billion.
The latest raise is evidence that demand for cybersecurity solutions remains high in the wake of the pandemic. Coalition’s run rate premium recently crossed $325 million, an 800 percent increase over the prior year, according to the company.
Coalition’s platform covers a range of cybersecurity tasks for their enterprise clients. To start, the platform aggregates and analyzes data from every internet-addressable device within a company. From there, assets are assessed to identify potential vulnerabilities with the intent to minimize risk.
Some of the tools and services offered on the platform include endpoint detection and response, automated security alerts and patch management.
But Coalition is more than just another cybersecurity platform, the company also offers enterprises insurance coverage. As part of its security approach, Coalition protects businesses against financial, tangible and intangible damages of up to $15 million.
“We are building a new kind of insurance with technology at its core. This is a dramatically different approach and it’s working,” Joshua Motta, co-founder and CEO of Coalition, said in a statement. “Insurers need to do more than analyze cyber risk once a year.”
Following an outstanding year of growth and several massive funding rounds, Coalition’s work managed to grab the attention of the White House. Last month Motta was invited to a national cybersecurity meeting held by President Biden. At the time, Motta announced that Coalition would offer its risk management platform, Coalition Control, to any business for free, effective immediately.
“We are setting a new standard for an industry that has been slow to unleash the full power of data,” Motta said in a statement.
Coalition plans to expand into new insurance lines as it continues to scale. The company is now hiring for four open positions spanning its finance, operations and growth teams.
Coalition has raised over $500 million in venture capital financing to date, according to the company.
The round was co-led by Durable Capital, T. Rowe Price Associates and Whale Rock Capital, in addition to several existing investors.
