AAA Feedzai consumes $50m in series C cash

Feedzai consumes $50m in series C cash

Feedzai, a US-based risk management software developer backed by financial services firm Citi, closed a $50m series C round on Tuesday that included venture capital firm Sapphire Ventures.

The round also featured an unnamed additional investor, and brought the total equity funding raised by Feedzai to $82m.

Feedzai has developed a risk management platform that is able to detect fraud by using artificial intelligence technology and big data analytics. The software is aimed at clients in the financial and e-commerce sectors.

The funding will help accelerate company growth, as Feedzai looks to bring its headcount to 300 by the end of this year, doubling its staff numbers from the end of 2016. The cash will also support further development of Feedzai’s machine learning technology.

Feedzai had received an undisclosed amount of funding from Citi’s strategic investment arm, Citi Ventures, in October 2016.

Oak HC/FT, a $500m fund established by private equity firm Oak Investment Partners, led the company’s $17.5m series B round In 2015, which included Sapphire Ventures and Espí­rito Santo Ventures, a VC fund affiliated with financial services firm Novo Banco.

Sapphire and Data Collective had previously supplied $2.4m in series A funding for Feedzai in 2013, after utility EDP, Espí­rito Santo Ventures and Novabase Capital had backed its $2.3m seed round in 2011.

Capital One Growth Ventures, the investment arm of financial services provider Capital One, is also a Feedzai investor, as is Armilar Venture Partners and OxyCapital, though details about their commitments could not be ascertained.

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