Congratulations to John Schreiber, Drew Smith, Emily Snell and the entire InfoArmor team on today’s $525 million acquisition by Allstate Corporation (NYSE: ALL). We believe this acquisition underscores the enormous and escalating impact of high-profile data breaches and identity theft in an evolving threat landscape. But as importantly, it highlights the incredible vision and tireless execution of the InfoArmor team. A founder-owned and bootstrapped business, InfoArmor developed a differentiated and highly scalable go-to-market strategy and became a leader in identity protection and advanced threat intelligence for employers all over the United States.
For more than three decades, Summit has sought out category leading, bootstrapped growth companies. When we first met the InfoArmor team, we quickly recognized the rare combination of great product-market fit, relentless focus on customer satisfaction, rapid growth and capital efficiency that we see and appreciate in many of the most successful growth companies. Prior to our partnership, the Scottsdale, Arizona-based company had raised no outside growth capital – and as a result, by necessity, the team had to be creative and disciplined in building the product, approaching the market and driving revenue growth.
We believed InfoArmor was doing something different in the enterprise security sector – both in product and in execution. Summit’s experience in cybersecurity spans nearly three decades and includes investments in a dozen companies that provide endpoint, network or application protection. InfoArmor addresses many of the same themes as these companies but targets a different and increasingly vulnerable vector of an enterprises’ attack surface: the employee.
InfoArmor’s solution is comprehensive and proactive. Through a combination of credit and financial transaction monitoring, social media review and proprietary dark web surveillance, InfoArmor surfaces compromised usernames, passwords and other personally identifiable information to help stop identity theft at its first sign.
But InfoArmor’s success goes beyond great products and services. Recognizing that enterprises have a very real stake in protecting their employees, InfoArmor developed a differentiated go-to-market approach, partnering with employers, benefit brokers, consultants and benefits exchanges to deliver identity protection solutions alongside existing employee benefits. The InfoArmor team built its product, organization and processes on a foundation of obsessive customer satisfaction. This drove strong referral business through InfoArmor’s benefits broker partners, resulting in exceptionally high market share, best-of-breed account expansion and retention rates, and profitable customer economics. Together, these attributes helped drive very rapid, high margin growth at scale. And the team’s execution has been stellar; since Summit’s investment in 2016, InfoArmor has more than tripled its customer base and today serves over 1400 businesses, protecting more than 2 million employees all over the U.S.
Joining forces with Allstate Corporation, InfoArmor now has the opportunity and the distribution network to bring their unique solutions – and unparalleled customer service – to more employees and enterprises. We are grateful for our partnership, and we wish the InfoArmor team the very best in their next phase of growth.
Since 1984, Summit Partners has invested in more than 475 companies in technology, healthcare and other growth industries. An alphabetical list of Summit Partners' growth equity portfolio companies can be found here.
This post originally appeared on LinkedIn
In the United States of America, Summit Partners operates as an SEC-registered investment advisor. In the United Kingdom, this document is issued by Summit Partners LLP, a firm authorized and regulated by the Financial Conduct Authority. Summit Partners LLP is a limited liability partnership registered in England and Wales with registered number OC388179 and its registered office is at 11–12 St. James’s Square, London, SW1Y 4LB, UK. This document is intended solely to provide information regarding Summit Partners’ potential financing capabilities for prospective portfolio companies.