San Diego’s Drata Closes $200M Series C Funding Round

Growing global demand for security software is driving rapid growth for Drata and its compliance automation platform.

Earlier this month (December 7), the San Diego-based startup announced a $200 million Series C funding co-led by ICONIQ Growth and GGV Capital. The latest round of funding doubles Drata’s valuation to $2 billion since its Series B in November 2021, as the company moves forward on its mission to make compliance effortless and accessible to businesses of all sizes.

“The Drata team continues to raise the bar with their innovative platform and customer-centric approach,” said Will Griffith, founding partner of ICONIQ Growth. “The speed with which the business operates continues to amaze us. We look forward to supporting Drata’s future growth as they solidify their leadership position in the compliance and security automation industry.

Alkeon Capital also made a significant investment in this cycle. Other Series C investors include Salesforce Ventures, Cowboy Ventures, S Ventures (SentinelOne), Silicon Valley CISO Investments (SVCI), and FOG Ventures (Operators Guild).

Strategic people participating in the round included Jeff Weiner (LinkedIn), Frank Slootman (Snowflake), Jennifer Tejada (PagerDuty), Amit Agarwal (Datadog), Olivier Pomel (Datadog) and Jonathan Rubinstein (Amazon), joining Satya Nadella (Microsoft) , which invested in Drata’s $100 million Series B.

Drata was founded in 2020 by Adam Markowitz, Troy Markowitz and Daniel Marashlian. Prior to launching the company, the trio launched and built a successful ed-tech company, Portfolium, which was purchased by Salt Lake City-based Instructure in 2019 for $43 million.

Since its Series B last year, when the company achieved unicorn status, Drata has grown to become an industry-leading security compliance platform, spanning over 14 executives. compliance, standards and regulations such as GDPR, NIST SP 800-53 and CCPA.

Earlier this year, Drata launched its dynamic Trust Center, allowing clients to proactively view the health of their compliance programs, as well as its Risk Management offering to continuously monitor, identify, assess and address risks. .

In addition to launching support for multiple languages, Drata has also deepened its integrations with over 75 applications and systems to provide complete visibility into an organization’s security posture. Having become an integral part of an organization’s security stack, the company has more than 2,000 customers, including Fivetran and Lemonade.

“Since our inception, Drata has been designed to bridge the gap between compliance and trust through automation, and we’ve made significant progress in less than two years,” said Adam Markowitz, CEO of Drata. “This next phase of growth will only further accelerate those efforts, usher in a new wave of open compliance, and help us achieve our vision of being the layer of trust between our amazing customers and those they do business with.”

With the global GRC market expected to reach $15 billion over the next three years, Drata will use the funds to continue to invest heavily in research and development (R&D) as the company continues to develop its enterprise solution. , automation first. At the same time, Drata remains committed to investing in features for startups and auditors to provide streamlined pathways to compliance without sacrificing quality and integrity.

“Since we led Series A from Drata, we have doubled every lap. We have seen the team engage in both remarkable speed and flawless execution to become the premier platform for fully automated GRC and trust,” said Oren Yunger, Partner at GGV Capital.

ICONIQ Growth partners with visionary companies that are defining the future of their industries. Its unique investment platform and ecosystem help amplify the success of its portfolio companies from early growth stage to IPO and beyond. Its portfolio includes Adyen, AirBnB, Alibaba, Alteryx, Automattic, BambooHR, Braze, Chime, Collibra, Coupa, Datadog, Docusign, Gitlab, Marqeta, Miro, Procore, Red Ventures, Relativity, ServiceTitan, Snowflake, Sprinklr, Truckstop, Uber, Wolt and Zoom.

GGV Capital is a global venture capital firm focused on multi-stage sector investments. Founded in 2000 with roots in Singapore and Silicon Valley, GGV manages $9.2 billion in investments across the United States, Canada, China, Southeast Asia, India, Latin America and in Israel.

Drata

CREATION: 2020
CEO: Adam Markowitz
EMPLOYEES: 300
FUNDING: $200 million
BUSINESS: Software security and compliance
WEBSITE: www.drata.com
NOTABLE: The company’s founders created a successful ed-tech company, Portfolium, which was purchased by Salt Lake City-based Instructure in 2019 for $43 million.