Funding round
Cato Networks Growth
Reported as "Growth Equity"
Cato Networks, which works in SASE platform development in Tel Aviv-Yafo, raised $238M in a Growth round announced on 19 Sep 2023, led by Lightspeed Venture Partners, at a $3.00B post-money valuation. 5 firms took part. It is Cato Networks' seventh venture round on record; the one before was a Growth in Oct 2021.
$238M
Amount raised
$3.00B
Post-money valuation
$2.76B pre-money
5
Investors
1 lead
1.2x
Step-up from the Growth
$2.50B in Oct 2021
7.9%
Stake sold
new money over the post-money
Valuation
What this round says about the price
This round priced Cato Networks at $3.00B after the new money, 1.2 times the $2.50B of its Growth (Oct 2021). The $238M bought investors about 7.9% of the company. It came 23 months after Cato Networks' Growth. It is 21% of the $1.11B Cato Networks has raised in the venture rounds on record. Cato Networks raised again 21 months later: a Series G round of $359M in Jun 2025, at $4.80B 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 19 Oct 2021, led by Lightspeed Venture Partners $200M$2.50B post-money
- Growth this round 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 4 other firms.
Lead investor
- Lightspeed Venture Partners backs 454 venture-backed companies new investor
Also in the round
- Adams Street Partners backs 61 venture-backed companies new investor
- SoftBank Vision Fund backs 234 venture-backed companies new investor
- backs 15 venture-backed companies new investor
- Singtel Innov8 new investor
Joined the board: Ravi Mhatre (LightSpeed Venture Partners).
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
354 Growth rounds in Tech Companies within a year either side disclosed an amount; the median was $48M, and this round was 5.0 times the median. The closest in time, other companies' Growth rounds in Tech Companies:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| Stack Tech Companies | 7 Sep 2023 | $1.00B | not disclosed | SoftBank Group |
| HiBob Tech Companies | 19 Sep 2023 | $150M | $2.70B | Farallon and Alpha Wave Global |
| Tech Companies | 26 Sep 2023 | $100M | not disclosed | Wavecrest Growth Partners |
| Tech Companies | 28 Sep 2023 | $100M | $3.00B | Warburg Pincus |
| Tech Companies | 5 Sep 2023 | $54M | not disclosed | Andreessen Horowitz and a16z crypto |
| Tech Companies | 19 Sep 2023 | $27M | not disclosed | Lightspeed Venture Partners |
| Tech Companies | 19 Sep 2023 | $25M | not disclosed | Edison Partners |
| Tech Companies | 27 Sep 2023 | $15M | not disclosed | Fulcrum |
Sources
Where this comes from
Reported by 6 sources.
Questions
Frequently asked
How much did Cato Networks raise in its Growth round?
Cato Networks raised $238M in its Growth round, announced in Sep 2023.
Who led Cato Networks' Growth round?
Lightspeed Venture Partners led it, with Adams Street Partners, SoftBank Vision Fund, Sixty Degree Capital and Singtel Innov8.
What was Cato Networks' valuation at the Growth round?
$3.00B post-money ($2.76B pre-money).
How does it compare with other Growth rounds in Tech Companies?
354 Growth rounds in Tech Companies within a year either side disclosed an amount; the median was $48M, and this round was 5.0 times the median.
Did Cato Networks raise again after this round?
Yes: a Series G round in Jun 2025 of $359M at $4.80B post-money.