Ontic raises $230 million led by KKR as corporate spending on security surges

Audio By Carbonatix

By Pritam Biswas and Ateev Bhandari

(Reuters) -Corporate security software firm Ontic has raised $230 million in a funding round led by alternate investment juggernaut KKR, it said on Friday, as it seeks to expand globally and into the government sector.

Ontic’s platform helps corporate security teams respond to physical threats to staff and facilities. The company says its software eliminates manual processes while protecting executives, preventing workplace violence and limiting travel risk.

The Series C funding comes at a time when corporate security spending has risen following the fatal shooting of a UnitedHealth Group executive last year, as more companies see heightened threats to their top brass.

Organizations are increasingly seeking preventive security solutions such as behavioral and threat analytics, along with reactive ones like surveillance and alarms.

Ontic’s clients currently include several Fortune 50 companies across technology, financial services, and consumer goods sectors.

“We grew up in large enterprise, and now we’re making the move into the federal and government space,” Ontic co-founder and CEO Lukas Quanstrom told Reuters in an interview.

Quanstrom also said the company has so far focused on U.S.-based clients to be capital efficient. With the KKR-backed funding, it is now hoping to expand globally.

“KKR’s deep sector knowledge in the federal government space, a global network, and operational resources is one of the reasons we’re super excited to partner with them,” said Quanstrom.

The round also involved JMI Equity, Silverton Partners, Ridge Ventures and Ten Eleven Ventures. The company did not reveal the valuation at which the funding was raised.

This round comes nearly 4 years after the company had raised $40 million, led by JMI Equity.

(Reporting by Pritam Biswas and Ateev Bhandari in Bengaluru; Editing by Sahal Muhammed)