Forter valuation tops $1.3 billion in new funding round
E-commerce fraud prevention provider Forter has raised $125 million in a Series E funding round, pushing the New York-based company's valuation to more than $1.3 billion.
Citing rapid growth and market demand for a real-time fraud prevention platform, Forter said the latest funding will allow it to expand its suite of services and a global data network that has doubled in size in the past year to exceed $200 billion in annual online transactions and protecting more than 800 million shoppers.
Bessemer Venture Partners, Felix Capital and Itai Tsiddon led the funding round, with participation from Sequoia Capital, NewView Capital, Scale Venture Partners, March Capital Partners and Commerce Ventures.
“We set out to create a global coalition of merchants, banks and payment providers that fight fraud together," Forter CEO and co-founder Michael Reitblat said in a Thursday press release. "We continue on our mission to expand the online network of trust and will continue investing in our platform in collaboration with our customers and partners.”
Forter doubled its team across eight global offices, doubled revenue and recently achieved its first cash-flow-positive quarter, Reitblat noted.
"The market traction we have experienced allows us to invest even more into our platform and drive more significant impact for our customers and partners," he added. "We will remain an independent company as we continue to grow our footprint across the commerce ecosystem.”
Forter's real-time, fully automated fraud prevention platform protects merchants across all verticals, with Nordstrom, Sephora, Priceline, Instacart and Adobe as some key clients.
In the past year, Forter has added loyalty program fraud protection, returns abuse protection, and smart routing, which is designed to eliminate lost revenue through false declines.
Major payments providers using Forter fraud prevention include FreedomPay, FIS/Worldpay, Global Payments and Checkout.com.
"Companies that can allow global organizations to safely embrace and accelerate their digital transformation and increase the lifetime value of their online consumers are invaluable as e-commerce continues to climb,” Elliott Robinson, a partner at Bessemer Venture Partners, said in the release. "Forter has turned fraud prevention into a business enabler by uniting the entire digital economy ecosystem to fight fraud together and let people shop safely.”