In a strategic move to bolster its market presence and innovation capabilities, San Francisco-based cybersecurity firm Armis has successfully raised $200 million in a Series D funding round. This impressive financial milestone, which values the company at $4.2 billion, is set to fuel Armis’s ambitions in expanding its product lineup, enhancing its market strategies, and exploring acquisition opportunities. According to Yevgeny Dibrov, Armis’s co-founder and CEO, the funding will specifically address the growing demand for security solutions in operational technology (OT) and medical device sectors, laying the groundwork for a future initial public offering (IPO).
Armis, established in 2015, has evolved into a significant player in the cybersecurity landscape, employing nearly 700 individuals. The company aims to further its capabilities in vulnerability management and threat intelligence, building on its strong foundation in asset management. This recent funding round follows a $300 million Series C round in November 2021, which saw Armis valued at $3.4 billion. Despite economic challenges, the company has increased its valuation by approximately 25% in the last three years, underlining its robust growth trajectory and the strategic leadership of Dibrov, who has been at the helm since its inception.
With the Series D round led by General Catalyst and Alkeon Capital, Armis is poised to leverage the expertise of these investors in scaling operations and facilitating an eventual IPO. Dibrov emphasized the importance of these partnerships in not only securing new deals but also in gaining valuable insights to support the company’s strategic direction. He also highlighted Armis’s focus on mergers and acquisitions (M&A) to enhance its offerings, citing recent acquisitions of Silk Security and CTCI as examples of its strategy to integrate culturally aligned and technologically advanced firms.
Armis’s commitment to enhancing its footprint in OT and medical device security is reflected in its extensive client base across various critical sectors such as manufacturing, healthcare, and infrastructure. The company recognizes the critical nature of operations in these industries and is dedicated to mitigating the unique risks they face. As Dibrov noted, ensuring the security of environments like factories, distribution centers, and grids is paramount, and Armis is well-positioned to address these challenges with its comprehensive security solutions.
Looking ahead, Armis is set to strengthen its go-to-market strategies, particularly in federal, state, and local government sectors, where it sees significant potential for growth. The company plans to use part of the new funding to enhance its research and development efforts, ensuring compliance with government standards and certifications like FedRAMP. Dibrov remains committed to maintaining close relationships with customers, using their feedback to drive product innovation and acquisition decisions, reinforcing Armis’s long-term commitment to meeting evolving cybersecurity needs.