Protos Security, an unconventional managed security service provider (MSSP), has scored private equity funding from Southfield Capital. Protos will use the investment to upgrade its software and drive market growth, according to a prepared statement. Financial terms such as actual dollars, valuation and percentage ownership were not disclosed.
Protos provides security guard solutions via a proprietary technology system and security vendor network. It allows organizations to outsource the onboarding, management and tracking of security guards across thousands of sites in the United States, Canada and Puerto Rico.
Protos offers end-to-end security guard management services and the Protos Client Portal, an end-to-end electronic management system that protects guard data and enables organizations to analyze and forecast guard performance. Furthermore, Protos provides $10 million in liability coverage to customers as part of its offerings.
Cybersecurity Funding on the Rise
Private equity is flowing into all types of digital and traditional security providers. In addition to Smithfield's investment in Protos, other notable cybersecurity funding announcements include:
- KnowBe4: Cybersecurity awareness training provider KnowBe4 this month received a minority investment from KKR and Ten Eleven Ventures; the investment raised KnowBe4's total valuation to $800 million.
- Armorblox: Cybersecurity startup Armorblox last month secured $16.5 million in Series A venture funding from General Catalyst and Point72 Ventures.
- Foresite: Top 100 MSSP Foresite in January added venture capital funding from Elsewhere Partners.
- Cybeats: Internet of Things (IoT) cybersecurity company Cybeats in December received $3 million from venture capital funds Ripple Ventures and GreenSoil Building Innovation Fund and various investors.
Cybersecurity investments totaled more than $5.3 billion in 2018, industry analyst Strategic Cyber Ventures indicated. As private equity firms and other investors search for growth opportunities, the volume and value of cybersecurity investments could increase in 2019 and beyond.