附近上门

, an Atlanta-based privacy, security and third-party risk technology platform, announced this morning it has raised a massive $210 million Series B. The financing more than doubled its valuation to $2.7 billion.

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and led the round.

The investment comes just seven months after OneTrust raised an also massive $200 million Series A at a $1.3 billion valuation. It brought the company鈥檚 to $410 million since its 2016 inception. (Insight Partners led that round as well.)

I hopped on the phone with OneTrust chairman , who said the company has been seeing explosive growth. By explosive we mean its headcount and customers surged from 600 and 2,000, respectively, in February 2019 to 1,500 employees and 5,000 customers today (including half the 500).

While he declined to provide growth metrics for 2019, the Atlanta Business Chronicle that OneTrust had seen a staggering 22,000 percent revenue growth from 2016 to 2018.

There鈥檚 no doubt that much of that growth is related to the fact that it helps organizations comply with global regulations like General Data Protection Regulation and now in California, the that went into effect on Jan. 1.

鈥淐ertainly, the concern for privacy is driving our business,鈥� Dabbiere told me. 鈥淲e鈥檙e seeing the transition from companies being fearful or scared of compliance issues to every CEO wanting to get closer to their customer.

鈥淭he challenge they have is wanting to get a lot more data about customers so they can serve them better,鈥� he continued. 鈥淏ut every CEO is also scared of ending up on the front of because someone on their team overreached.鈥�

Customers include , Akamai, , and .

So much, so soon

I was curious why OneTrust, if it was seeing such remarkable growth, felt the need to raise its Series B round so soon after its Series A financing. According to Dabbiere,聽the majority of the funds from OneTrust’s Series A are still available. But more capital gives the company “dry powder” to go after what it sees as “significant opportunities” for growth.

“We want to move fast on any organic and inorganic growth opportunities we may see in the market,” he told 附近上门 News.

Dabbiere said the doubling of the company’s valuation is indicative of OneTrust’s recent success.

鈥淲hen a VC invests in a company, they have certain growth expectations built into the number they give you,鈥� he said. 鈥淚n the last seven months, our valuation went from $1.3 billion to $2.7 billion. That tells you that we knocked it out of the park even relative to some lofty expectations. We had a really fantastic back half of the year.鈥�

Standing out in a crowded market

While there鈥檚 a slew of companies focused on the data privacy space, as our own Gene Teare reported yesterday, OneTrust does appear to have a strong foothold in the market. (In December I covered a new entrant to the market, Austin-based )

But despite all the competition, OneTrust stands out, according to a recent analysis of the privacy market by research giant .

In that report, IDC said: 鈥淥neTrust continues to dominate the privacy management market through exponential growth, organic growth as well as acquisitions. 鈥� They are growing horizontally into the governance, risk, and compliance space as well.鈥�

Indeed, OneTrust has over its lifetime, and plans to continue buying more with its new capital, according to Dabbiere. This is a strategy that the company believes will make its offerings even more valuable to customers.

Dabbiere believes that part of what sets OneTrust apart from its competition is that it continues to develop new modules that are important to customers.

鈥淎s our existing 5,000 customers continue to buy more and more modules from us, we expect our growth to only continue,鈥� Dabbiere told me. 鈥淚n a fairly short amount of time, we have made the transition from a handful of products to a fully integrated platform with a broad suite of products that responds to the trust and risk needs of our customers.鈥�

Investor POV

, managing director at Insight Partners, which led the deal, said the OneTrust team has exemplified the saying: 鈥淪kate to where the puck is going to be, not to where it has been.鈥�

鈥� and team founded the business at such an opportune time, recognizing the looming privacy regulations globally,鈥� he wrote via email. 鈥淲hen GDPR went into effect in May 2018, the product was market proven and the team, which we had previously backed at , was ready to hit the ground running.鈥�

As mentioned above, GDPR鈥檚 U.S.-based successor, CCPA, went into effect last month and OneTrust is already seeing massive demand from the market, Wells added.

鈥淭he pace at which OneTrust has been able to release new modules and partner integrations is a testament to their innovative technology,鈥� he said. 鈥淭hey are building a true platform that we believe will be embedded in the privacy officer鈥檚 workflow for businesses of all sizes.鈥�

For more on the surprisingly robust Atlanta startup scene, check out my in-depth look at the market here.

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