Blackpoint Cyber raised $190M in Bain Capital-supported Series C

A Maryland-based company is making significant strides, with backing from funders who have collaborated with renowned companies like Spotify joining in on the growth. 

Several years after a $7 million Series B,  Blackpoint Cyber recently announced a successful funding round, led by Bain Capital’s Tech Opportunities fund, that was worth $190 million. Additional participants included Accel, Adelphi Capital Partners, Telecom Ventures, Pelican Ventures and WP Global Partners. Jon Murchison, founder and CEO of Blackpoint Cyber, said the company was thrilled to partner with Bain Capital Tech Opportunities and Accel,” and “to propel our next phase of growth and continue providing our [managed service provider, or] MSP partners with an ever-innovative cybersecurity ecosystem.”

Established by Murchison in 2014, the cyber company initially focused on government projects before expanding into the commercial sector in 2019. Its managed detection and response software efficiently seeks and neutralizes cyber threats in real-time. 

Dewey Awad, a partner at Bain Capital Tech Opportunities, also commended Blackpoint’s unique offerings: “Blackpoint sets itself apart as the security service of choice for MSPs with its next-gen MDR technology and integrations to detect and actively respond to threats.”

Blackpoint Cyber plans to commit the funding toward further developing its security technology and empowering MSP partners to effectively combat the shifting threat landscape. The company intends to grow its research and development roadmap, invest in MSP partner enablement and strengthen its overall go-to-market strategy.

Blackpoint, headquartered in Ellicott City, Maryland, currently employs approximately 130 individuals, as confirmed in an email to Technical.ly. The company has already onboarded 55 new employees this year and plans to hire an additional 80. Asked about potential concerns regarding the company’s resilience amid market corrections or a recession, Awad cited the company’s high-quality financial and market foundation.

“Our entire purpose for this raise and timing was because we have very strong business fundamentals and metrics,” Awad said. “We did this round because we felt like we had the best MSP security tech stack in the world, elite business fundamentals with our SaaS metrics in the top 5% of all SaaS companies and a desire to greatly expand the value and scale of our services to the MSP market. We put substantial new capital on the balance sheet, and we do not foresee any future cash needs, no matter the market environment. We do expect another year of rapid hiring and growth in 2024.”

Blackpoint Cyber also recently unveiled an addition to its product lineup, according to Murchinson.

“We just released a game-changing addition (Managed Application Control) at no extra charge to our Blackpoint response bundle,” he noted. ” That was the start, and we have multiple major product releases coming out this year to give our MSPs more tools, ease of management and enhanced margin so we can work with our partners to focus on revenue generation and customer success.”

The company has several product releases planned for the year that aim to provide MSPs with tools that will simplify management processes, increase operational efficiency and ultimately boost profitability. By empowering their partners with these innovative solutions, Blackpoint Cyber aims to enable MSPs to concentrate on revenue generation and possibly ensure customer success.