Cyber unicorn Pentera raises $60M at over $1B valuation as ARR approaches $100M
With revenue soaring 300%, the company is doubling down on the US market and product expansion.
Cybersecurity company Pentera has raised $60 million in Series D funding, marking its first investment round since early 2022, when it became a unicorn. The company has not disclosed its current valuation, but it is estimated to be worth over $1 billion, the valuation it reached three years ago when it raised $150 million in Series C funding.
The funding round was led by Evolution Equity Partners, which had previously invested in the company, and included participation from Farallon Capital Management, a private investment firm managing $40 billion, which also holds a 10% stake in software giant Salesforce. This latest round brings Pentera’s total fundraising to $250 million.
According to the company, since its previous funding round, it has increased its annual recurring revenue (ARR) by more than 300% and is expected to reach an ARR of $100 million by the end of 2025, approaching breakeven.
“This is a real business, not just a dream. Within two and a half years, we will reach an annual revenue rate of $200 million and become profitable,” said Amitai Ratzon, CEO of Pentera
Pentera has also doubled its customer base and launched four new products. The company now serves over 1,100 customers, including the Blackstone investment fund, which previously invested in Pentera, El Al Airlines, and the Wyndham hotel chain. The average deal size has quadrupled since the last funding round, now reaching $100,000.
Pentera specializes in automated penetration testing and cyber defense validation. Its software enables organizations to test their resilience against cyber threats by safely and automatically simulating cyberattacks, helping them identify and fix vulnerabilities. Research firm Gartner has identified this field as one of the most critical sectors in the global cybersecurity market for 2025, especially given the rise in threats fueled by artificial intelligence, which has made phishing and ransomware attacks more sophisticated.
Founded in 2015 by Arik Liberzon, who serves as CTO, and Arik Faingold, a co-founder of the Commit computing group, Pentera currently employs about 400 people—half of them in Israel, about 100 in the U.S., and the rest in Europe and Asia.
According to Ratzon, Pentera currently has 40 open positions worldwide, with the new funding primarily aimed at strengthening its position in the U.S. market. This is why the Insight Partners VC and Blackstone Innovation, two of its existing investors, did not participate in the round.
“Too much funding can be a distraction. Over the past few years, we have expanded from a single-product company to a platform with six products. We are already very strong in Europe and Asia, and now we want to double our business in the U.S., where there is significant opportunity. The funds leading this round specialize in scaling businesses, and there may be a much larger funding round later,” Ratzon explains.
He also emphasized that this was a "clean" funding round, with no secondary sales, special preferences, or mechanisms.
“We could have included them and significantly increased our valuation, but we chose not to,” Ratzon adds.
As part of its growth strategy, Pentera is also exploring mergers and acquisitions to drive market consolidation and provide greater value to customers.
