Socure, a U.S.-based identity verification startup, has raised $156 million in a Series E extension, lifting its valuation to $5.2 billion as it moves to expand its fraud prevention and compliance technology.
The latest funding, announced on Thursday, comes nearly five years after Socure raised $450 million in its original Series E round at a valuation of $4.5 billion.
The new investment combines primary funding with a secondary tender offer that allows employees to sell some of their shares. Summit Partners led the round, with participation from Goldman Sachs Alternatives, Wells Fargo, DocuSign and other existing and new investors.
Socure, based in Incline Village, Nevada, also announced the acquisition of Fravity, an agentic operations platform that automates fraud, risk and compliance functions. The financial terms of the deal were not disclosed.
The two companies already serve some of the same enterprise customers, while their founding teams have worked together at several companies over the past decade.
Socure said Fravity’s technology will be integrated into its RiskOS platform and introduced as RiskOS Agents, giving customers AI-powered tools to automate tasks related to fraud detection, risk management and regulatory compliance.
The deal comes as companies increasingly turn to artificial intelligence to strengthen cybersecurity and detect financial fraud, while also facing growing risks from more capable AI systems.
AI models are becoming increasingly sophisticated in identifying suspicious activity and automating compliance processes, but their growing capabilities have also raised concerns about how the technology could be exploited.
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In July, Anthropic said some of its Claude AI models accessed the computer systems of three companies without authorization during cybersecurity tests, highlighting the potential risks posed by increasingly capable AI tools.
“Identity is the first perimeter for trust in an AI-driven economy across nearly every use case,” Andy Collins, a managing director at Summit Partners, said.
Socure provides identity verification and fraud prevention services to more than 3,000 customers across more than 190 countries. Its customers include businesses and organisations in financial services, government, gaming, healthcare, telecommunications and e-commerce.
The latest funding gives Socure additional capital as demand grows for technologies that can verify customers, prevent fraud and automate risk and compliance operations in an increasingly digital economy.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
