Anna Irrera, 24 March 2021
LONDON (Reuters) – Financial technology group Feedzai said on Wednesday it had raised $200 million in a round led by investment company KKR valuing the startup at more than $1 billion.
Existing investors, including Sapphire Ventures and Citi Ventures, also participated in the round, the San Mateo, California-headquartered company said.
Feedzai develops artificial intelligence and machine learning technology that helps banks and other financial firms to spot and prevent payments fraud, money laundering and other types of illicit activities.
The company, whose engineering and product operations are based in Portugal, will use the money to speed up its global expansion and expand its product range, it said.
The use of digital banking and payments is booming globally, in part due to the coronavirus pandemic which has led both consumers and businesses to conduct more activities online.
The rapid digital shift has led to an increase in online financial crime. Consumers faced a 650% increase in account takeover scams and a 250% increase in online banking fraud attacks in the last quarter of 2020 compared with a year earlier, based on a Feedzai study.