Israeli SaaS security company Reco today announced the completion of a $25 million financing round from Insight Partners, Zeev Ventures, boldstart ventures, Angular Ventures, and new investor Redseed. This latest round brings the total amount raised by Reco to $55 million.
This latest comes amid Reco’s swift growth, with the company reporting a fivefold increase in annual recurring revenue (ARR) over the past year, while tripling its number of customers, including in high-regulated financial services, insurance, healthcare, pharma, and tech. As the company grows, Reco is expanding its capabilities, adding new integrations weekly.
Tel Aviv-based Reco was founded by CEO Ofer Klein, CTO Tal Shapira and CPO Gal Nakash.
Klein said, “The adoption of AI apps and agents has made SaaS security more complex and dynamic than ever. Combine this with the proliferation of SaaS apps including shadow apps, and we’re seeing a growing gap between the reality of the ecosystem and what legacy SSPM tools can provide. Businesses need security solutions to be proactive vs. just reactive – simplifying security without slowing down the business. The strong interest in this oversubscribed round reflects the confidence of our customers, strategic partners, and new investors who share our vision. We are enabling enterprises to contain SaaS sprawl, and this demand-driven growth is proof of how Dynamic SaaS Security is the future.”
Reco has developed a comprehensive application discovery engine capable of identifying and classifying over 50,000 applications, and providing visibility into an organization’s SaaS ecosystem. Its proprietary SaaS App Factory currently secures over 175 applications and integrates new apps within 3-5 days – far faster than the months-long timelines of legacy providers.
Published by Globes, Israel business news – en.globes.co.il – on April 22, 2025.
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