Data storage security firm Cyera is closing a funding round led by Evolution Equity Partners, securing at least $300 million and reaching a $12 billion valuation, according to multiple sources.
High ARR, Low Profitability
The company reportedly exceeds $150 million in annual recurring revenue (ARR), though it remains unprofitable. Valued at 80 times its ARR, Cyera's multiple surpasses those of many fast-growing AI startups, according to individuals familiar with the matter.
Despite the impressive valuation, sources indicate Cyera is spending more than it earns, notably on expanding its sales team. PitchBook reports the company has created 500 jobs this year alone.
Disputed Financial Figures
Cyera's spokesperson challenged the accuracy of the reported figures, labeling them as "factually and significantly inaccurate." Evolution Equity Partners did not comment on the matter.
The anticipated investment comes just five months after Cyera's previous $400 million Series F funding round, which was led by Blackstone and valued the company at $9 billion. This round saw contributions from investors such as Accel, Coatue, Lightspeed, Redpoint, Sapphire, Sequoia, and Cyberstarts.
Expanding Through Acquisitions
Founded in 2021, Cyera has capitalized on the demand for its platform as enterprises seek to protect data from AI-driven threats. The company claimed that, during its Series F announcement, its clients included 20% of the Fortune 500 and that its revenue had tripled over the previous year.
Recently, Cyera has utilized its financial resources to cover operating losses and acquire other cybersecurity companies, such as Ryft, backed by Index Ventures, and the relatively new Genie Security.
These strategic moves are part of Cyera's efforts to strengthen its market position amid growing competition in the data security sector.
Source: https://techcrunch.com/2026/06/02/cyera-eyes-12b-valuation-at-80x-arr-multiple-despite-operating-losses/
