- After obtaining all necessary approvals, Permira Growth Opportunities has completed the acquisition of a majority stake in BioCatch, originally announced in May 2024
New York and Tel Aviv, September 9th, 2024 – BioCatch (the “Company”), the global leader in digital fraud detection and financial crime prevention powered by behavioral biometric intelligence, today announced that Permira Growth Opportunities II (the “Fund”), a fund advised by global private equity firm Permira, has completed the acquisition of a majority position in the Company. The transaction is expected to accelerate the Company’s global expansion, advance its innovative product roadmap and support its continued overall growth.
BioCatch has developed and leads the field of fraud and money laundering detection and prevention through behavioral biometric intelligence, which uses advanced machine learning to distinguish between legitimate account users and criminal elements that have opened or taken over accounts through illicit means. The Company’s algorithm monitors and analyzes the digital behavior patterns and cognitive guidance of hundreds of millions of retail banking customers, providing insights into the legitimacy of their identity and behavior without compromising privacy.
After surpassing $100 million in ARR and achieving EBITDA profitability in 2023, BioCatch has maintained its strong momentum into 2024, achieving 43% ARR growth YoY in the first half of the year, making it the best first half year in the Company’s history. ARR from its new solutions, scam prevention and mule detection, has more than tripled over the last year. BioCatch now serves over 200 financial institutions globally, including more than 30 of the world's top 100 banks, and protects over 400 million banking customers worldwide from fraud and financial crime. Since 2018, BioCatch has prevented an estimated $4.72 billion in fraud. The Company’s sustained growth highlights the importance of behavioral biometric intelligence as a critical solution for combating next-generation, AI-powered digital fraud and financial crime.
Stefan Dziarski, Partner and Co-Head of Permira Growth Opportunities, Dominik Pozny, Principal at Permira, and Ran Maidan, Senior Adviser and Head of Permira in Israel, will join BioCatch’s Board of Directors. Ran will also serve as Chairman of the Board.
Gadi Mazor, CEO of BioCatch: “We are excited to deepen our partnership with Permira and welcome Stefan, Dominik, and Ran to our Board of Directors. Permira’s global reach and scale, along with their deep expertise in technology and cybersecurity, will be instrumental as we continue strengthening our market leadership position and elevating BioCatch to new heights”.
“We’re thrilled to complete our majority investment in BioCatch and are excited to continue the successful partnership with Gadi and the BioCatch team as we work together to drive further growth and expansion in the coming years. Having followed BioCatch for many years and having become a shareholder in early 2023, we remain very confident in the company's growth potential, technological leadership and management team,” said Stefan Dziarski, Partner and Co-Head of Permira Growth Opportunities.
“Following a successful initial investment and close partnership, we are excited to take a majority position in the company and continue supporting BioCatch’s outstanding management team, led by Gadi. We are fully committed to enhancing BioCatch’s global leadership through both organic growth and strategic expansion, delivering exceptional value to customers and safeguarding end-users and their most sensitive transactions,” commented Ran Maidan, Senior Adviser and Head of Permira in Israel.
