The Independence, Ohio-based Keyfactor is backed by global venture capital and private equity firm Insight Partners.
Founded in 2009, Redtrust provides centralized certificate and digital signature management. The company’s customers operate in the banking, insurance, infrastructure, and healthcare industries. The acquisition will complement Keyfactor’s end-to-end secure identity and code signing platform, according to the company.
Jordan Rackie, CEO at Keyfactor, commented on the acquisition:
“Like Keyfactor, Redtrust is fiercely committed to offering best-in-class identity management innovation to customers in industries where trust and reputation are a top priority. This acquisition supports Keyfactor’s scale and global expansion efforts. We’re now able to address a broader number of use cases for our customers and appeal to a wider market, from the Global 2000 to small and midmarket businesses in North America and Europe.”
Rackie was appointed to the CEO position in June 2019. He assumed the role from Keyfactor co-founder Kevin von Keyserling, who remains with the company on the board of directors and chief strategy officer. That leadership shakeup also saw the appointment of a new chief financial officer and executive vice president of operations in Jim DeBlasio, as well as new executive chairman of the board, Tim Harvey.
In January 2019, Keyfactor announced a $77 million growth funding round with Insight. The company says it has doubled its revenue year-over-year and now secures more than 500 million certificates for Fortune 2000 clients around the world. Keyfactor has more than 100 employees.
Daniel Rodriguez, CEO at Redtrust, also commented on the deal:
“We found the perfect partner with Keyfactor, and I’m thrilled for Redtrust to reach this important company milestone. Together we have a shared vision for the future of trust, and an obsession with technical excellence and customer success. We’re now on an unstoppable mission to secure the digital identities for companies of all sizes in any market.”
Currently, around 5 percent of global midsize and larger enterprises use identity and access management as a service (IDaaS). But that number is expected to balloon to 40 percent by 2022, according to research by Gartner Inc.
That’s because cyber-threats that exploit common Public Key Infrastructure (PKI) vulnerabilities, digital certificates, and unsecured code are on the rise, according to Keyfactor CSO von Keyserling. The threats are being fueled by the onset of digital transformation, IoT adoption, and evolving DevOps environments, according to von Keyserling.
“We acquired the best company with the best technology to address these threats. Full stop,” he said.