In the News
Keyfactor Announces Significant Minority Investment from Sixth Street Growth, Valuing the Company at Approximately $1.3B
October 24, 2023
Sixth Street will join Insight Partners as an investor to support the cybersecurity innovator and its next phase of growth
CLEVELAND, Ohio – October 24, 2023 — Keyfactor, Inc. (“Keyfactor”), the identity-first security solution for modern enterprises, today announced it has secured a significant minority investment from Sixth Street Growth, the growth investing platform of Sixth Street, at an enterprise value of approximately $1.3 billion. Along with this investment, Bo Stanley and Alex Katz at Sixth Street will join Keyfactor’s Board of Directors. Sixth Street’s investment reinforces Keyfactor’s leading position in the digital identity market and will be a further catalyst for growth.
The rise of machine identities is the latest risk challenging today’s modern enterprise. This, coupled with the looming threat of quantum computing and the rapid explosion of connected devices, has left many organizations scrambling to effectively tackle the issue of securing digital identities. Keyfactor’s identity-first security solutions, powered by EJBCA, the most trusted and widely used open-source PKI, are trusted by more than 1,500 organizations to build and maintain digital trust. Increasing market demand has resulted in Keyfactor’s staggering three-year revenue CAGR of over 70%. As the enterprise is now forced to heighten awareness around digital identity management, Keyfactor’s innovation is unmatched.
“This investment marks a significant milestone in our company’s history. The newly acquired capital from Sixth Street will fuel our business as we continue this trajectory of hypergrowth,” said Jordan Rackie, CEO, Keyfactor. “Our market leadership is a testament to the innovation backing our technology and our team’s commitment to customer satisfaction. We are also excited to welcome Sixth Street to our board. They bring the right experience, financial prowess, and strategic network we need to empower Keyfactor in this next chapter.”
“Today organizations must find a way to enable true digital trust in a rapidly evolving and an increasingly complex IT / IOT environment,” said Alex Katz, Managing Director at Sixth Street Growth. “Given the team’s proven track-record of innovation and the platform’s ability to manage digital identity at scale, Keyfactor is uniquely positioned to help enterprises as the trusted provider of machine identity management. We’re excited to work with Jordan and Insight to support Keyfactor in its next phase of growth.”
“Keyfactor continues to successfully seize the challenge of helping enterprises prepare for the rise of digital identities. We’ve watched the company thrive under Jordan and his team’s leadership, and we eagerly anticipate the promising path ahead,” said Thomas Krane, Managing Director at Insight Partners.
Evercore acted as lead financial advisor, and J.P. Morgan acted as financial advisor to Keyfactor and Insight Partners. No other terms of this private transaction are being disclosed.
About Keyfactor
Keyfactor brings digital trust to the hyper-connected world with identity-first security for every machine and human. By simplifying PKI, automating certificate lifecycle management, and securing every device, workload, and thing, Keyfactor helps organizations move fast to establish digital trust at scale — and then maintain it. In a zero-trust world, every machine needs an identity and every identity must be managed. For more, visit keyfactor.com or follow @keyfactor.
About Sixth Street Growth
Sixth Street Growth makes investments in mid- and late-stage technology companies. The Sixth Street Growth team partners with founders and management teams to provide differentiated capital solutions to accelerate organic and inorganic growth. Sixth Street Growth is the dedicated growth investing platform of Sixth Street, a leading global investment firm with over $74 billion in assets under management and committed capital. Sixth Street has invested over $9 billion in more than 70 companies through its Growth franchise since inception. Select Sixth Street Growth investments include Airbnb, AvidXchange, Bloomreach, Contentsquare, Datavant, Gainsight, Kaseya, MasterControl, Nasuni, Spotify, and Sprinklr. For more information, visit www.sixthstreetgrowth.com, and follow Sixth Street on LinkedIn.
About Insight Partners
Insight Partners is a global software investor partnering with high-growth technology, software, and Internet startup and ScaleUp companies that are driving transformative change in their industries. As of June 30, 2023, the firm has over $80B in regulatory assets under management. Insight Partners has invested in more than 800 companies worldwide and has seen over 55 portfolio companies achieve an IPO. Headquartered in New York City, Insight has offices in London, Tel Aviv, and Palo Alto. Insight’s mission is to find, fund, and work successfully with visionary executives, providing them with tailored, hands-on software expertise along their growth journey, from their first investment to IPO. For more information on Insight and all its investments, visit insightpartners.com or follow us on Twitter @insightpartners.
