Reco, a dynamic SaaS security company based in the cybersecurity sector, has announced the successful close of a $25m funding round as it looks to capitalise on explosive growth and address emerging risks in the enterprise software landscape.
The investment was backed by Insight Partners, Zeev Ventures, boldstart ventures, Angular Ventures and new backer Redseed. This round brings Reco’s total raised capital to $55m.
Reco offers an AI-native platform designed to secure the growing and increasingly complex SaaS environments that dominate modern enterprise IT ecosystems. The company’s core product supports rapid application discovery and integration, automating security across a wide array of authorised and unauthorised apps.
The fresh capital will be used to accelerate platform development, expand channel partnerships, and build on Reco’s recent momentum. With a strategy focused on speed and proactivity, the firm plans to grow its SaaS App Factory to support more integrations, introduce Reco AI Agents, and continue scaling globally.
The round follows a year of notable growth for Reco, which saw a 5x increase in ARR and a 3x expansion in customer numbers. The company has gained a strong foothold across sectors including finance, insurance, healthcare, pharmaceuticals, and technology.
Reco co-founder and CEO Ofer Klein said, “The adoption of AI apps and agents has made SaaS security more complex and dynamic than ever. Combine this with the proliferation of SaaS apps including shadow apps, and we’re seeing a growing gap between the reality of the ecosystem and what legacy SSPM tools can provide. Businesses need security solutions to be proactive vs. just reactive – simplifying security without slowing down the business.
“The strong interest in this oversubscribed round reflects the confidence of our customers, strategic partners, and new investors who share our vision. We are enabling enterprises to contain SaaS sprawl, and this demand-driven growth is proof of how Dynamic SaaS Security is the future.”
The company’s technology currently secures over 175 apps and adds new integrations within days.
Insight Partners managing director Praveen Akkiraju said, “Reco has identified a critical security gap that legacy vendors typically cannot address. Reco is transforming SaaS security – delivering seamless execution that scales with enterprise needs and is fueled by deep customer trust. Their innovative approach to Dynamic SaaS Security and exceptional team position them to lead this rapidly expanding market. We’re excited to partner with the Reco team as they accelerate their growth and go big on the market.”
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