NetSPI, which works with companies to thwart cyberattacks, has raised $90 million in minority investments from KKR and Ten Eleven Ventures.
The new infusion of capital will help the 225-employee software firm develop and improve products, add clients and hire more people, NetSPI CEO Aaron Shilts said in an interview Wednesday.
NetSPI, based in downtown Minneapolis, has grown year-over-year revenue by 50% so far compared with 2020. Shilts expects to finish the year with about $50 million in 2021 sales.
"We strive to stay one step ahead of hackers, breaches, and bad actors by focusing on prevention-based security techniques," Shilts said. "NetSPI will continue … with a focus on attack surface management, enterprise security testing and vulnerability management.
"This investment from KKR and Ten Eleven Ventures allows NetSPI to better meet this demand while simultaneously fueling growth and innovation as a leader in the booming cybersecurity market."
NetSPI secured its first outside investment in 2017 from Sunstone Partners, a San Mateo, Calif.-based investment firm. Its co-founders, Gus Alberelli and Mike Biggee, are members of the NetSPI board.
In a statement, Alberelli said Sunstone was "proud of the company's extraordinary growth" and looked forward to working on NetSPI with KKR and Ten Eleven.
NetSPI late last year bought Silent Break Security, a Utah-based provider of network security tests. The deal added to NetSPI's suite of services for identifying weaknesses in technology networks for corporate and institutional clients.
Bloomberg Intelligence recently reported that global cybersecurity spending is expected to exceed $200 billion per year by 2024, as more organizations spend to deter sophisticated cyberattacks and the operational difficulties related to them.
KKR is investing in NetSPI through its Next Generation Technology Growth Fund II. KKR and Ten Eleven Ventures have invested previously in several other cybersecurity companies including Darktrace, Ping Identity and ReliaQuest.

Wisconsin governor signs off on $500 million plan to fund repairs and upgrades at Brewers stadium

Supreme Court signals it will uphold a tax on foreign income and leave a wealth tax for another day
Stock market today: Wall Street hangs near its best level in 20 months following mixed economic data
Families of 3 Black victims in fatal Florida Dollar General shooting plead for end to gun violence
