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Cybersecurity company Digital Shadows raises $26m Series C

Digital Shadows office

Cybersecurity firm Digital Shadows has raised a $26m (£19.2m) Series C to boost its global expansion.

The firm’s round was led by Octopus Ventures and drew support from World Innovation Lab, Industry Ventures and the company’s existing backers.

Founded in 2011, Digital Shadows previously closed a $8m Series A in February 2015, followed by a $14m Series B last year.

“This funding event is a huge milestone for Digital Shadows so we can expand our lead to offer the best digital risk management service in the industry,’ said Alastair Paterson, CEO and co-founder of Digital Shadows.

‘We are excited to have the support of the likes of Octopus, World Innovation and Industry Ventures as we embark on the latest phase of our development and continue to expand our geographic coverage and SearchLight service to help our customers manage their digital risk to protect their business, brand and reputation.”

Will Gibbs of Octopus Ventures said Digital Shadows had shown “phenomenal growth across all verticals and geographies with a world-class range of partners and clients”.

“We are very excited about what the team have shown themselves capable of and for the wider opportunity, as we see a wide range of clients now increasing digital risk as a key priority,” he added.

Luke Hakes, investor at Octopus Ventures, will be joining Digital Shadows’ board of directors.

Eileen Burbidge, partner at Passion Capital, and an investor in Digital Shadows’ Seed stage, spoke about the prevalence of cybersecurity: “It  has become such an important sector and we are proud to be backing Digital Shadows once again to enable the company to go global

“Back in 2011, we first invested in Digital Shadows at its seed stage because we recognised that its tremendously capable founding team had a unique approach to digital risk management with high growth potential.

“It has since delivered on that promise by growing clients across Europe and successfully expanding into the US market. Taking the proposition to Asia is the next logical step. The addressable market is tremendous – any company of any size and sector needs to protect the integrity of its data and should consider Digital Shadows,” Burbidge concluded.

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