Stake sale · Enterprise Software & IT
Exfinity Venture Partners exits CloudSEK with 13x return
By Startup Enthusiast ·
- Date
- Company
- CloudSEK
- What it does
- AI-driven threat intelligence platform
- Kind
- Stake sale
- Stage
- post-Series B
- Founded
- 2015
- Sector
- Enterprise Software & IT
What they do
Exfinity Venture Partners made a partial exit via a secondary sale to existing investors, retaining a meaningful stake
What happened
The exit yielded a 13x multiple on invested capital and over 40% IRR, after Exfinity invested at the pre-Series A stage
Why it matters
CloudSEK, an AI-driven threat intelligence platform, has crossed $15 million in ARR with over 60% net new revenue from international markets
The details
- Exfinity Venture Partners completed a partial exit from CloudSEK via a secondary sale.
- The transaction involved selling shares to existing investors rather than bringing in new capital.
- Exfinity retains a meaningful stake in the company despite the partial divestment.
- The deal highlights the liquidity options available to early-stage venture investors in successful startups.
- CloudSEK continues to operate independently with its current investor base strengthening positions.
- The event underscores the maturity of CloudSEK's investment lifecycle since its early days.
- No new funding round was announced alongside this specific stake transfer event.
The bigger picture
- Exfinity achieved a 13x MOIC (multiple on invested capital) on this investment.
- The internal rate of return for Exfinity exceeded 40% IRR (annualized profit rate).
- Exfinity was the first institutional investor in CloudSEK, backing it at an early stage.
- The high returns validate the growth trajectory of the Indian cybersecurity sector.
- Secondary sales allow early investors to realize gains while companies remain privately held.
About the business
- CloudSEK operates an AI-driven threat intelligence platform for enterprise security needs.
- The company offers predictive, intelligence-led cybersecurity solutions to protect digital assets.
- Its capabilities cover digital risk, attack surface management, and supply chain security layers.
- CloudSEK serves customers in banking, telecom, aviation, and digital platforms sectors.
- The company has crossed $15 million ARR (Annual Recurring Revenue) indicating strong subscription growth.
- Over 60% of net new revenue comes from international markets outside India.
- The United States is identified as the fastest-growing region for CloudSEK.
- Consistent year-over-year growth demonstrates stable demand for its cybersecurity services.
- The business model relies on recurring revenue from enterprise software subscriptions.
The deal
- Type
- secondary sale
Investors
- Exfinity Venture Partners (seller) — First institutional investor in CloudSEK; focuses on deep-tech, enterprise tech, semiconductors, AI, and frontier technology from India.
- Commvault (existing) — Participant in CloudSEK's Series B round raised in early 2025.
- Connecticut Innovations Fund (existing) — Participant in CloudSEK's Series B round raised in early 2025.
About CloudSEK
- Product
- An AI-powered cyber threat prediction and intelligence platform.
- Customers
- Enterprises across banking, healthcare, technology, and the public sector.
- How it makes money
- It sells cybersecurity software and intelligence services to organizations that need threat detection and resilience.
- What sets it apart
- It focuses on predicting threats before incidents, using contextual AI and model integrations.
- Operations
- The company plans to expand in the US and establish a regional hub in Connecticut.
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