AAA Feedzai to fight financial crime with $200m

Feedzai to fight financial crime with $200m

US-based risk management software developer Feedzai received $200m yesterday in a series D round that included Citi Ventures, a corporate venturing unit for financial services firm Citi.

Investment firm KKR led the round through its Next Generation Technology Growth Fund II, and was joined by venture capital firm Sapphire Ventures. The funding was secured at a valuation exceeding $1bn, according to TechCrunch.

Feedzai has developed cloud-based risk management software used by e-commerce companies and financial services firms to protect themselves against financial crime. Its platform leverages artificial intelligence technology and big data analytics to detect and address money laundering and fraudulent activity.

The new funding will be used to speed up the company’s global expansion and support the further development of its product offering. It had closed a series C round backed by Sapphire Ventures and an undisclosed additional investor at $50m in 2017.

Citi Ventures had provided an undisclosed amount of funding for Feedzai the previous year. It had previously raised $17.5m in a 2015 series B round led by Oak HC/FT that also featured Sapphire Ventures and Espí­rito Santo Ventures, a VC vehicle associated with financial services firm Novo Banco.

The company had already received $2.4m of series A funding from Sapphire Ventures and Data Collective in 2013, following a $2.3m seed round backed by energy utility EDP, Espí­rito Santo Ventures and Novabase Capital in 2011.

Feedzai’s other existing investors include financial services firm Capital One’s investment subsidiary, Capital One Growth Ventures, as well as Armilar Venture Partners and OxyCapital.