Baltic startup raises $100M in funding at a unicorn valuation

Technology evolves rapidly – and for every opportunity, there is often a new threat. Rapid digitisation has accelerated the adoption of devices and platforms that allow data to be shared more widely than ever, while increasing society’s appetite for online, interconnected technologies and networks.

Consumers and businesses are now exposed to heightened cyber risks as the enterprise security perimeter blurs due to remote working, and internet infrastructure is struggling to keep pace. It’s already estimated that cybercrime will cost the global economy a staggering $10.5 trillion by 2025, and nearly half of consumers now expect to be hacked. It’s clear that to protect consumers, businesses and the broader digital economy in the long-term, a more holistic approach to online security is required.

Nord Security’s mission is to build a radically better internet and restore trust in digital networks, by securing consumer and enterprise accounts, networks and information against advanced cyberthreats. The company, which pioneered the mass-market consumer VPN category with NordVPN, aims to help consumers and businesses enhance their security and privacy protections with a holistic suite of products, which allow consumers and businesses to analyse, detect and contain threats at the edge of a network before they penetrate sensitive end-user devices.

All of Nord Security’s products leverage its global success in the consumer market and incorporate best-in-class convenience, UX, adaptability and administration at a fraction of the cost and time of traditional solutions. Along with NordVPN, Nord Security’s intuitive and purpose-built internet security and privacy product suite includes NordPass (password manager), NordLocker (encrypted cloud storage), and NordLayer (network access security).

In February 2022, Nord Security joined forces with Surfshark, one of the most popular consumer cybersecurity companies globally. This new investment will play a key role in accelerating Nord Security and Surfshark’s shared vision of providing people with modern privacy and security solutions. Surfshark’s product suite includes a consumer VPN, Antivirus, Alert (online data breach detector), Search (privacy search), and Incogni (data deletion tool for online databases).

Nord Security was founded in Lithuania in 2012 by Tom Okman (co-CEO) and Eimantas Sabaliauskas (co-CEO) to create an internet security and privacy tool that was easily accessible for everyone. Today, Nord Security’s suite of products is trusted by millions of consumer users worldwide, as well as by a range of businesses, including the likes of Calendly, Adobe, Shutterstock and Vinted, for advanced threat protection against complex and evolving cyberthreats. Nord Security, which operates in 20 countries globally, is continuing to expand rapidly with over 200 open positions and 50% YoY headcount growth.

The investment will be used to make key hires at all levels and across every function, adding to Nord Security’s 1700-person team. Nord Security will also use the new financing to accelerate the expansion of its product suite and geographical footprint through acquisitive growth and intensive R&D on new platform features.

Tom Okman, co-CEO and co-founder at Nord Security, said:

“Ten years ago, we set out to create security and privacy tools which would help create a safer and more peaceful online future; today, millions of people trust our products every day to protect them.

We are profitable and have been bootstrapped until today, but in our investors, we have found partners who believe in our mission as much as we do, which will allow us to grow faster and double down on our aspiration to build a radically better internet. We’re also humbled to play a part in helping Lithuania, a fiercely entrepreneurial country, enter into a new era of technological innovation.”

Birgir Már Ragnarsson, managing partner at Novator Ventures, who joins Nord Security’s board, added:

“Modern internet security requires a completely new approach to address the secular growth of risks from expanding data regulations and ever-worsening cyberthreats.

Tom and his team are well-positioned to deliver and usher in the new era of internet security with a powerful and best-in-class suite of privacy and security tools, designed to protect information, accounts and networks.

It’s rare to find a company that can already demonstrate such an excellent track record, brand credibility and unwavering focus on serving customers, so we are delighted to partner with Nord Security to support the team as they execute their vision at scale.”

About Novator Ventures

Novator Ventures is an international growth equity fund. It seeks to identify disruptive trends driven by digitisation or technological innovation and then pick high-quality disruptor businesses that are driving these secular changes in their given industries. Novator Ventures offers founder and/or management teams an opportunity to capitalise on the back of an engaged, knowledgeable and supportive investor. Amongst others, Novator Ventures previous investments include Zwift, Monzo, Tier and AppLovin.

About Burda Principal Investments

Burda Principal Investments (BPI) provides long term growth equity for fast growing consumer digital and technology companies. BPI is a division of Hubert Burda Media which is one of Europe’s largest media and technology conglomerates with a strong investment track record in internet-centric businesses, since 1998. At BPI, we have been partners of visionary entrepreneurs, leveraging Burda’s capital, brands and sector expertise, particularly in the areas of business expansion, internationalization and localization. BPI is invested in a portfolio of highly successful and fast growing digital and tech companies in Europe, the U.S. and Asia including Vinted, Bloom & Wild, Carsome, Moneybox, Zapp, Billease and many more.

About General Catalyst

General Catalyst is a venture capital firm that invests in powerful, positive change that endures — for our entrepreneurs, our investors, our people, and society. We support founders with a long-term view who challenge the status quo, partnering with them from seed to growth stage and beyond to build companies that withstand the test of time. With offices in San Francisco, Palo Alto, New York City, London, and Boston, the firm has helped support the growth of businesses such as: Airbnb, Deliveroo, Guild, Gusto, Hubspot, Illumio, Lemonade, Livongo, Oscar, Samsara, Snap, Stripe, and Warby Parker.

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