Despite the ongoing Cov pandemic and the sharp decline in the global investment level, the UK regtech startup Onfido has proposed a $ 100 million funding round this week, led by TPG Growth.
Founded by three Oxford graduates in 2012, Onfido the insertion of a variety of publicly available database to get the organization Fast Identity Verification and background checks employment and criminal records by matching valid photo ID with a selfie video, use the advanced algorithms to identify the forgery.
This round brings total investment of 200 million USD, which includes a 2019 round led by Softbank investment institutions(SBI, not to be confused with the larger vision of the Fund)of people and potential customers to add the camp enterprise support M12Capital(formerly known as Microsoft business),FinVC and others.
Fundraising in a crisis
The company started the fundraising process in January before the COVID-19 epidemic really grasp the world, which means that due diligence is a little more strict than the company faced in the last raised money back in 2019.
Onfido CEO, Hussein bar rush, tell Techworld He estimated that as many as 30 people involved in the due diligence process of this transaction. “I think this is a good thing and the founders should know that there are widely cited,”he said.
Bar Rush added that he is in a”fortunate position it is a competitive round, so we had multiple term sheets. Likely to play a role in the”final round during a global crisis. TPG Growth stand between the investors for their”reputation and experience”, particularly due to its investment in technology unicorn like Super,music and dimension.
He noted that the existing investors will help to provide a weekly summary and relevant information to their businesses on a global health crisis. “There are quite a lot of activity across our investment and good content is being distributed,”he said.
He also observed the rise of rival companies pick up the phone and ask about a possible merger or acquisition activities, since the epidemic hit. “We have competitors out to talk about we made,”he said.
The new investment is earmarked for growth of the sales and technical functions of the business to help it expand in the region and new use cases, and identify new fraud cases quickly and at scale. “Demand is significantly greater than we can absorb, we hope to scale,”Mr. Rush said.
Response to the epidemic
Bar Rush noted that there is growing demand far solution, for example, Onfido’s identity platform, as a result of the epidemic, and he has seen demand increase each big Bank having to verify new customers are not using their branch offices, remote medical provider like Babylon hit to give the patient medical advice without visit to a surgery.
Weekly volume Onfido identity check on the health of the platform has increased by four times, more than in recent weeks and in order to 1. 3 times for remittances and the payment of the customers.
Another example comes from supermarket giant Tesco, Use Onfido as part of the recruitment process to verify employees right to work status. Supermarkets have also been rising rapidly the staff of the epidemic, Onfido has seen a six-fold increase in demand for this type of customer.
Onfido is also associated with a wide variety of businesses to help promote the development of the so-called’waiver of the passport, which will help governments determine the personal development of the immune COVID-19. This may contribute to a significant economic rebound after the peak of infection rates began to level.
A big part of this is the”education and help decision-makers recognize how this has occurred,”Mr. Rush said. “It needs expansion, for remote and need a reliable and tied to the body’s identity, and Privacy embedded and there is no Central database.”
“The current focus remains is to find the most effective detection kit, because it is to get to a better state the next topic will be combined, the test results of the person’s identity,”he said.