Funding round
Cato Networks Growth
Reported as "Growth Equity"
Cato Networks, which works in SASE platform development in Tel Aviv-Yafo, raised $200M in a Growth round announced on 19 Oct 2021, led by Lightspeed Venture Partners, at a $2.50B post-money valuation. 8 firms took part. It is Cato Networks' sixth venture round on record; the one before was a Series E in Nov 2020.
$200M
Amount raised
$2.50B
Post-money valuation
$2.30B pre-money
8
Investors
1 lead
2.5x
Step-up from the Series E
$1.00B in Nov 2020
8.0%
Stake sold
new money over the post-money
Valuation
What this round says about the price
This round priced Cato Networks at $2.50B after the new money, 2.5 times the $1.00B of its Series E (Nov 2020). The $200M bought investors about 8.0% of the company. It came 11 months after Cato Networks' Series E. It is 18% of the $1.11B Cato Networks has raised in the venture rounds on record. Cato Networks raised again 23 months later: a Growth round of $238M in Sep 2023, at $3.00B post-money.
Cato Networks' funding rounds
Cato Networks has 8 venture rounds on record. This one is highlighted.
- Series A 27 Oct 2015, led by US Venture Partners and Aspect Ventures $20M
- Series B 22 Sep 2016, led by Greylock Partners $30M
- Growth 29 Jan 2019, led by Lightspeed Venture Partners $55M
- Growth 7 Apr 2020, led by Lightspeed Venture Partners $77M
- Series E 17 Nov 2020, led by Lightspeed Venture Partners $130M$1.00B post-money
- Growth this round 19 Oct 2021, led by Lightspeed Venture Partners $200M$2.50B post-money
- Growth 19 Sep 2023, led by Lightspeed Venture Partners $238M$3.00B post-money
- Series G 30 Jun 2025, led by Vitruvian Partners and ION Asset Management $359M$4.80B post-money
Investors
Who put money in
Lightspeed Venture Partners led the round with 7 other firms.
Lead investor
- Lightspeed Venture Partners backs 454 venture-backed companies new investor
Also in the round
- Greylock Partners backs 190 venture-backed companies new investor
- backs 33 venture-backed companies new investor
- backs 97 venture-backed companies new investor
- Coatue backs 229 venture-backed companies new investor
- Singtel Innov8 new investor
- Aspect Ventures / Acrew Capital
- Shlomo Kramer
Use of proceeds
What the money is for
According to the announcement, the money goes to hiring, product development, geographic expansion, sales and marketing, scaling operations and working capital.
- Hiring
- Product development
- Geographic expansion
- Sales and marketing
- Scaling operations
- Working capital
Comparable rounds
How it compares
425 Growth rounds in Tech Companies within a year either side disclosed an amount; the median was $60M, and this round was 3.3 times the median. The closest in time, other companies' Growth rounds in Tech Companies:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| Invicti Tech Companies | 20 Oct 2021 | $625M | not disclosed | Summit Partners |
| Plume Tech Companies | 12 Oct 2021 | $300M | $2.60B | SoftBank Vision Fund |
| Tech Companies | 14 Oct 2021 | $298M | $3.00B | Tiger Global |
| Tech Companies | 8 Oct 2021 | $275M | $10.00B | Sequoia Capital and Coatue |
| Tech Companies | 6 Oct 2021 | $225M | $2.00B | Knox Lane |
| Tech Companies | 21 Oct 2021 | $200M | not disclosed | Sumeru Equity Partners and SoftBank Vision Fund |
| Tech Companies | 26 Oct 2021 | $135M | not disclosed | K1 Investment Management |
| Tech Companies | 1 Oct 2021 | $125M | not disclosed | not named |
Sources
Where this comes from
Reported by 3 sources.
Questions
Frequently asked
How much did Cato Networks raise in its Growth round?
Cato Networks raised $200M in its Growth round, announced in Oct 2021.
Who led Cato Networks' Growth round?
Lightspeed Venture Partners led it, with Greylock Partners, Aspect Ventures, Acrew Capital, Coatue and Singtel Innov8 and 2 more.
What was Cato Networks' valuation at the Growth round?
$2.50B post-money ($2.30B pre-money).
How does it compare with other Growth rounds in Tech Companies?
425 Growth rounds in Tech Companies within a year either side disclosed an amount; the median was $60M, and this round was 3.3 times the median.
Did Cato Networks raise again after this round?
Yes: a Growth round in Sep 2023 of $238M at $3.00B post-money.