Cybersecurity startup Arctic Wolf raises $401 million in convertible notes offering
Eden Prairie, Minnesota-based cybersecurity company Arctic Wolf has raised $401 million through a convertible notes offering led by existing investor Owl Rock, a division of Blue Owl Capital, with participation from new and existing investors including Viking Global Investors, the Ontario Teachers’ Pension Plan, and funds advised by Neuberger Berman.
“This latest investment is a testament to our opportunity to unify the market at hand through our security operations platform, while solving the ever-present cyber talent crisis. By bringing our holistic platform to our customers, we are bridging the security operations gap faced by businesses of all sizes. We are excited to leverage this latest financing round to continue our hypergrowth journey,” said Nick Schneider, Arctic Wolf’s president and chief executive officer.
This announcement marks another milestone in Arctic Wolf’s journey, amidst a strong demand for end-to-end security operations solutions which has seen the Arctic Wolf Security Operations Cloud scale to become a leading data platform in cybersecurity, processing more than 2.5 trillion security events per week, the company said in a statement.
Currently, Arctic Wolf serves over 3,000 customers that range from large enterprises to small and mid-sized businesses (SMBs), while working with over 1,100 channel partners worldwide that support our fast-paced, frictionless go-to-market model.
In the last twelve months, Arctic Wolf has also doubled its headcount driven by expansion into new global markets including most recently, South Africa, Benelux, and the Nordics, as well as an upcoming launch into APAC.
“We’re delighted to expand our partnership with Arctic Wolf. Many businesses lack the expertise and resources to secure themselves against today’s growing challenges. Arctic Wolf’s continued growth and expansion amidst a tumultuous market is a testament to the strong value proposition of its one-stop cloud native platform coupled with its differentiated delivery model,” said Ilan Aharoni, vice president at Owl Rock, a division of Blue Owl Capital.
“Arctic Wolf addresses several of the key themes we see across the cybersecurity landscape: the challenge of monitoring and securing increasingly complex IT environments, the difficulty in keeping pace with sophisticated threat actors, the need to unify disparate and sprawling toolsets, and the major talent shortage in security” added David Jar, managing director at Owl Rock.
“We’re thrilled to deepen our relationship with the management team as they continue their relentless focus on customers and executing against the market opportunity.”