NordVPN parent valued at $3bn after latest funding round

2 Oct 2023

Co-founders Eimantas Sabaliauskas and Tom Okman. Image: Nord Security

As part of the funding deal, Chandler Reedy of Warburg Pincus will join the board of directors at Nord Security.

Nord Security, the cybersecurity company behind NordVPN, has raised $100m in a financing round led by private equity company Warburg Pincus.

NordVPN is one of the biggest virtual private network (VPN) providers in the world and constitutes the Lithuanian company’s flagship product.

Other products made by Nord Security include password manager NordPass, network access security software for businesses NordLayer and encrypted cloud storage NordLocker.

The latest investment will help Nord Security to expand its product offering for consumers and businesses, as well as accelerate its growth through strategic mergers and acquisitions.

While the round was led by Warburg Pincus, existing investors including Novator Ventures and Burda Principal Investments also participated in the round. The investment brings Nord Security’s valuation to a whopping $3bn.

In April last year, the company raised $100m in its first-ever external investment round, which valued it at $1.6bn. This means that in little more than a years’ time, Nord Security has nearly doubled its valuation.

Tom Okman, co-CEO and co-founder at Nord Security, said that the company will continue to innovate and take “a holistic approach” towards consumer and businesses cybersecurity needs.

“The new financing round, together with our investors’ experience and know-how, allow us to be in an even stronger position to make the Nord name synonymous with online privacy and security,” Okman said.

Following the deal, it was also announced that Chandler Reedy, managing director and head of strategic investments at Warburg Pincus, will join Nord Security’s board.

“With an attractive long-term outlook supported by state-of-the-art cybersecurity tools, Nord Security’s business model and strategy align well with our extensive experience in the cybersecurity sector,” Reedy said.

“Leveraging the expertise of Warburg Pincus’ Capital Solutions team and its Capital Solutions Founders Fund, Nord Security is well positioned to gain further momentum in this complex market environment.”

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Vish Gain is a journalist with Silicon Republic