San Francisco-based data security company Very Good Security (VGS) on Thursday announced that it raised $35 million in a Series B funding round led by Goldman Sachs’ Merchant Banking Division.
The company told SecurityWeek that it will use the funds to grow its team to support more enterprise customers and invest in research and development.
Existing investors Andreessen Horowitz and Vertex Ventures US also took part in the latest funding round, which brings the total raised by VGS to $44.9 million.
VGS provides a platform that allows organizations to ensure data security, compliance and privacy without the need to maintain a secure data environment themselves. Customers entrust VGS to store their sensitive information and the company provides them synthetic, aliased data that they can use in place of the original data.
VGS also facilitates secure data exchanges with approved endpoints, allowing customers to retain full control of their data while eliminating the cost and liability associated with protecting sensitive data themselves.
“For most companies, data is simply an input to achieve a business outcome such as getting paid, underwriting a loan or running a background check,” said Mahmoud Abdelkader, CEO and co-founder of VGS. “VGS provides specialized SaaS infrastructure to make it easy for developers and businesses to achieve their objectives while offloading the risk that comes with data custodianship.”
David Campbell, managing director in Goldman Sachs’ Merchant Banking Division, commented, “Data compromise is one of the largest cyber-security and reputation risks businesses face today. Securing data is traditionally complex and expensive. VGS’ unique solution redefines the challenge by removing the sensitive data from systems making them easier to build, secure and manage, reducing both time and cost of securing data.”
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