US VC leads $9m raise for Featurespace
American VC firm TTV Capital has led a $9 million round for Cambridge technology business Featurespace that will fund global expansion. It is the specialist FinTech investor’s first foray into mainland UK.
Featurespace is a global leader in machine learning fraud prevention using adaptive behavioural analytics spun out of Cambridge University.
Imperial Innovations, Nesta, Cambridge Angels and Cambridge Capital Group have also participated in the round.
The additional funding will enable Featurespace to continue to establish itself as a global provider of machine learning fraud protection to the financial services and gaming sectors.
Clients already include Vocalink/Zapp and CallCredit in financial services as well as Betfair, William Hill and Camelot.
Earlier this month Wall Street-quoted global payments company TSYS – the largest third-party processor of Visa and MasterCard credit cards in the US – announced a collaboration with Featurespace to provide enhanced real-time fraud detection capabilities to its customers.
Featurespace’s mission is to transform the way financial services organisations manage card fraud across the transaction lifecycle. The machine learning ARIC™ engine monitors individual behaviour to protect every customer, one at a time, from real-time fraud attacks.
Simultaneously, ARIC dramatically reduces the number of genuine customers whose purchases are incorrectly declined.
CEO Martina King said: “This new funding round is a huge endorsement of Featurespace’s rising success in financial services fraud management. We have developed the ARIC engine to catch new fraud attacks in real-time, while simultaneously increasing acceptance of genuine customer purchases.”
Gardiner Garrard, managing partner at TTV Capital added: “Millions of consumers are affected by credit and debit card fraud each year.
“Featurespace’s ARIC engine is significantly transforming and modernising card fraud and risk management in the US payment industry and worldwide, dramatically improving the customer experience.
“This funding round is the first time we’ve invested in a mainland UK company and reflects our support of Featurespace’s transformative fraud detection capabilities.”
Featurespace has now raised over $14 million since 2008 to fuel its global scale-up strategy.
The company has deployed ARIC in the UK, US and Europe to organisations that have services or products deployed in over 180 countries.