Sysnet secures funding to support growth and accelerate development of security product offerings
Sysnet Global Solutions, the leading provider of cyber security and compliance solutions operating in over 60 countries worldwide, announced it has secured a significant growth equity investment led by FTV Capital, a growth equity firm with a successful track record supporting high-growth financial services and technology companies, and joined by equal investor True Wind Capital, a technology-focused growth and private equity firm with significant experience in security software and services.
As part of the transaction, FTV Capital founding partner Richard Garman, partner Kyle Griswold and principal Richard Liu will join Sysnet’s board of directors. From True Wind, founding partner Jamie Greene and partner Sean Giese will join Sysnet’s board of directors.
Sysnet provides merchant compliance and security management solutions to some of the world’s largest, global acquiring organisations, supporting more than 3 million merchants worldwide.
Sysnet clients favour Sysnet’s managed compliance and security services as an alternative to charging customers non-compliance fees for not complying with the PCI DSS (Payment Card Industry Data Security Standards). Any organisations that handles payment card data must comply with PCI DSS.
The investment will be used to support Sysnet’s rapid growth in North America and Europe, as well as its expansion into new markets including Latin America and Asia. The investment will also accelerate the development of its security product offerings to SMBs via acquiring and payment processing organisations.
“Sysnet is delighted to align with world-class partners like FTV Capital and True Wind Capital to support growth plans in both existing and new markets,” said Gabe Moynagh, CEO at Sysnet.
“FTV is a perfect fit for Sysnet given its knowledge of security and payments, Global Partner Network and proven ability to scale high-growth companies. Further, True Wind is a seasoned technology, software and security investor, providing decades of operational, growth and scaling expertise to technology companies.
“Their combined investment will enable us to deepen our strategic relationship with our clients and their customers through the enhancement of our security product offering and customer support globally. We‘re incredibly confident that Sysnet will benefit from the experience and expertise that the FTV and True Wind teams bring to the table.”
As a sector-specific growth investor, FTV Capital has deep domain expertise in the security and payments industries, having previously invested in Trustwave, provider of industry-leading security assessment and compliance solutions, which was acquired by Singapore Telecom in 2015, and other companies such as A-LIGN, Egress, ID.me, and ReliaQuest.
True Wind Capital’s investment professionals have significant experience leading successful transactions in security software and managed IT services, including Crowdstrike, Datto, Zscaler, GoDaddy and Zix.
“As the need for cybersecurity and compliance solutions continues to skyrocket, businesses of all sizes require best-in-class solutions to meet this critical need,” said FTV Capital partner Kyle Griswold.
“Sysnet has proven to be a continuous innovator in the space and provides a compelling solution to both payments providers in the form of better compliance and merchant retention and merchants in the form of better security and data protection.”
True Wind Capital partner Sean Giese continued, “the company is primed for tremendous growth as it looks to serve businesses ranging in size from small to large, while expanding its global footprint and product set.”
“Sysnet is revolutionizing the way merchants meet payments standards across the globe,” commented FTV Capital founding partner Richard Garman. “With this investment, FTV Capital will use its security market experience and network to accelerate Sysnet’s innovations for the global transaction service industry.”
“We are at an exciting inflection point of Sysnet’s development. True Wind looks forward to partnering with both Sysnet’s management team and FTV to achieve this next stage of growth,” said True Wind Capital founding partner Jamie Greene.
According to the 2019 Global State of Cybersecurity in Small and Medium-Sized Businesses report, SMBs have reported a significant increase in targeted cybersecurity breaches for the third consecutive year. The report finds that attacks against U.S., U.K. and European businesses are growing in both frequency and sophistication.
Sysnet helps SMBs to protect against such breaches by providing a managed service that assists such businesses in maintaining compliance with PCI DSS and by providing them with a range of security tools to protect their payment and business environment, all supported and monitored by a team of data security experts.
The Sysnet team was assisted in the transaction by DC Advisory, the Dublin office of the Maples Group, Jamieson Corporate Finance, and Ernst & Young.